People who make certain payments, such as rent, commission, professional fees, salary, interest, etc., are required to deduct income tax from the money they pay.
At the time of paying the employee’s salary, the employer deducts TDS return from the salary. Employees are responsible for deducting and depositing their employee money to the government on behalf of the employee.
TDS was introduced as a way to collect taxes from the source of income. This concept states that a person (deductor) who makes payments of specified nature to any other individual (deductee) shall deduct tax at the source and deposit it into the Central Government’s account.
In the event income tax has been deducted at source from the deductee’s income, the deductor must issue Form 26AS or TDS certificates to the deductee for the credit.
The following pre-requisites must be met before a TDS statement can be uploaded:
- TDS can only be uploaded by users who hold a valid TAN and are registered in e-Filing.
- It is recommended to prepare the statement using the Return Preparation Utility (RPU) and to validate it using the File Validation Utility (FVU). Download the utilities at http://www.tin-nsdl.com/.
- An e-Filing account should be registered with a valid DSC. (For DSC uploading)
- Pre-validate the Principal Contact’s “Bank Accounts/Demat Accounts” or link. The PAN of the Principal Contact should be linked to the Aadhaar number. Uploading EVC files is necessary (for uploading).
You can file TDS online in the following ways:
- Go to http://incometaxindiaefiling.gov.in/ and click ‘Login Here’.
- You will then be prompted to enter your login credentials before clicking on the ‘Login’ button. Your user ID will be your TAN.
- You will need to enter Captcha and click on “Login” to continue.
- You can upload the TDS by clicking on the “TDS” menu and then selecting “Upload TDS.”.
- A form will be provided to you where you must fill out the correct information. Select the details and click Validate.
- Please note that TDS statements can only be uploaded from FY 2010-11, and only regular statements can be uploaded.
Validate the returns by using the following methods:
- Digital Signature Certificates are used to validate. You can upload TDS statements using DSC. When uploading using DSC, first upload the TDS zip file and also attach the digital signature file. Once you have clicked on Upload, the process will begin. An email confirmation will be sent to your registered email address once the TDS statement has been uploaded.
- EVC stands for Electronic Verification Code. Using an electronic verification code (EVC), you can validate the TDS statements after step 4 if you have not generated a DSC
- 7. Click on ‘Click here to E-verify’ after uploading the TDS zip file.
The form can be validated using either a Digital Signature Certificate (DSC) or an Electronic Verification Code (EVC). As soon as the form has been validated, submit it.