Tds return- why we are asked to choose whether deductee is a

In the TDS Return 26Q we are asked to choose option 01 / 02 for Company and non -company deductees.

My doubt is when the 3rd Character in PAN No. itself indicates whether the deducteee is a company or not ? are we asked to say whether the deductee is a company or not.

 The NSDL is changing the software so frequently why it doe not delete this column in RPUs.

Does any of you know - if there is any reason.

Replies (1)

It is not the third character but the Fouth character of the PAN no.

It is not NSDL which is doing this but the Govt. is making them to do this. You cannot question this to Govt. This is the format and you will have to follow it. Does it take too much to you to write 01 and 02? If yes tell me, I can tell you a excel formula for that.

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