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Wrong tds deducted

Others 293 views 3 replies

Deducted TDS at 2% instead of 1% to a vendor.What will be the complications and consequences ??

Replies (3)
It's more TDS
No complications and consequences.
Vendor will claim more TDS in his return.
@ tenzin
issue is very simple .
adjust in the next bill.
@ Tenzin

Adjusting in next bill - simple ?

Though it may look simple to adjust in next bill, but it's a complicated process.

It will give trouble to you in matching bill amount Payment vs TDS , and in TDS return too.

And trouble to vendor also while claiming TDS credit bcoz of bill amount and TDS amount mis- match.

It's okay what you have done.
Tell your vendor to pay advance tax less to the extent of excess TDS deduction.


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