What is TDS?
Tax Deducted at Source (TDS) is a system implemented by the Income Tax Department where a company or individual is required to deduct taxes on specified payments such as salary, commission, professional fees, interest, etc., before making the payment.
This deducted amount counts towards the recipient’s tax liability, ensuring taxes are collected in advance and reducing tax evasion.
Claiming Credit for TDS Paid:
- TDS Certificate: The deductor should provide you with a TDS certificate, like Form 16 for your salary. The amount of TDS withheld and deposited on your behalf is displayed in this document.
- Form 26AS: You can also access your Form 26AS which reflects all your tax-related information, including TDS credits.
- Income Tax Return (ITR): When filing your ITR, you need to claim credit for the TDS already deducted. This reduces your tax liability or can result in a tax refund.
Additional Points:
- Interest and Penalties: There are penalties for late deposit of TDS by the deductor.
- Verification: It’s important to verify the TDS information mentioned in your TDS certificate and Form 26AS to ensure it matches your records.
- Professional Help: Consider seeking help from a tax professional for complex TDS scenarios or if you have any doubts.
How to check the status of your TDS Payments?
To check out the status of your Tax Deducted at Source (TDS) payment in India, follow these steps:
- Through the Income Tax Department’s website
- Visit the Income Tax e-Filing Website: Go to Income Tax e-Filing.
Link address
https://www.incometax.gov.in/iec/foportal/
- Open your account and log in:
- Enter your password, captcha code, and user ID (PAN) if you already have an account.
- Click “Register Yourself” to establish an account if you don’t already have one, then follow the instructions to do so.
- Navigate to TDS Section:
- Navigate to the “TDS” area after logging in.
- To view the most recent TDS payment status, click “View Filed TDS”.
- View TDS Statements:
- Select the appropriate assessment year.
- To view the status of your TDS payments, click “View Details”.
- Through the TRACES Portal
- Visit the TRACES Portal: Go to TRACES.
- Login to Your Account:
- Enter your User ID (usually your PAN), password, TAN (Tax Deduction Account Number), and captcha code.
- Click on “Login”.
- Navigate to the Dashboard:
- On the dashboard, you will find options for various services.
- Click on “View TDS/TCS Credit”.
- Check TDS Status:
- Select the financial year and other relevant details.
- View the status of your TDS payments.
- Using Form 26AS
- Access Form 26AS:
- Sign in to your account using Income Tax e-Filing.
- Go to “My Account” and click on “View Form 26AS (Tax Credit)”.
- View Form 26AS:
- Following your selection of “Confirm,” the TRACES website will open.
- Select the assessment year and view Form 26AS.
- Check TDS Credits:
- Form 26AS will show the TDS credits against your PAN for various financial years.
- This will include details of the TDS deducted by different deductors.
Points to Remember
- Make sure you have your PAN and TAN ready.
- Ensure you have registered on the e-filing and TRACES portals.
- Regularly check your TDS status to ensure proper credit.
By following these steps, you can easily check the status of your TDS payments and ensure they have been correctly credited.