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wrong TDS rate applied by mistake

Dilip (Working) (408 Points)

15 December 2009

On warehouse rent the tds is by misakenly applie u/s 194C and not u/s 194I (Rent) since July09, but now find out that it is our mistake. now we are making the payment of the same with interest. So my question is whether i need to revise my Q2 tds return and show that vendor under rent instead of contract. pls suggest ?

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11 Replies

Max Payne (employed) (2574 Points)
Replied 15 December 2009

Originally posted by :Dilip
"	On warehouse rent the tds is by misakenly applie u/s 194C and not u/s 194I (Rent) since July09, but now find out that it is our mistake. now we are making the payment of the same with interest. So my question is whether i need to revise my Q2 tds return and show that vendor under rent instead of contract. pls suggest ?	"

yes please revise the return, before dept calls u up one fine day... :)

Sunil Liladhar Kotak (Manager (F & A)) (2025 Points)
Replied 16 December 2009

agree with G.K.

sunil

sriram (CA) (281 Points)
Replied 16 December 2009

yes u can very well revise it asap

Dilip (Working) (408 Points)
Replied 16 December 2009

I had already made the payment u/s 194C and now want to make the payment u/s 194I. so how i will change it in challan because as per Challan enquiry it will not match.

BIJAY KUMAR RUNGTA (CA FINAL STUDENT) (85 Points)
Replied 16 December 2009

even if we dont revise the return then it will be no issue .........only the difference amount which we have fall should that should be paid with interest(for delay payment)......or either the alternative option is to revise the return.

Pawan Kumar (audit manager) (118 Points)
Replied 16 December 2009

not satisfied with bijay

just revised the return and pay the balance tax with interest

Ravinder (Sr. Accounts Officer) (155 Points)
Replied 16 December 2009

I think Mr Pawan is right

you should revised your return and pay your balance tax with interest

nagaraja (Accountant) (36 Points)
Replied 19 December 2009

Mr. Pawan is right. You should pay the balance tax with interest and revise the Q2 return.

Jitendra Jhanwar (Officer) (129 Points)
Replied 19 December 2009

Hi,

You just calculate the amount of TDS u/s 194I and pay it with interest.

And set off the current month 194C Liability with upto wrongly Paid in JUNE09. so there is no need to alter the challan and revise the Q2 return.

M V N Ravi Kumar (CA) (58 Points)
Replied 19 December 2009

revised return is intended for errors and ommissions only. You should flle the revised return

Bharat Khurana (Student) (153 Points)
Replied 21 December 2009

yes you should revise the return and previously deposited tds shall not be used because it was deposited u/s 194c it can be adjusted against any future payment made to a contractor on which tds will be deductible u/s 194c now you should deposit the amount of tds along with interest u/s 194i.if payment has been made to the party this extra payment should be recovered from the party.