A Tax Deducted at Source (TDS) is a practice that requires an entity to deduct a certain percentage of money before making payment to another party. TDS is applicable on payments made for specified services or on receipts issued for certain goods. TDS is applicable on payments made for specified services or on receipts issued for certain goods. An entity should collect the TDS amount from the service provider and issue a TDS certificate with the details of the payer and payee, along with the TDS payable and other relevant details before making the payment. The payer must withhold the tax and make an accounting entry for this purpose. In case of non-residents, there are separate rules to determine whether it’s a business connection or personal connection that creates a liability to pay Indian taxes. Read further to know about how you can pay your TDS challan online and get your challan receipt
What is TDS Challan?
A Tax Deducted at Source (TDS) challan is a document that is issued to an entity that has to deduct tax at source. TDS challan is issued when the tax amount has to be deposited or paid to the government. The person responsible for collecting TDS must file the TDS return on or before the Due Date prescribed in the Income Tax Act of the particular financial year. The TDS Challan is a proof of payment of TDS from the payer to the government. You can download the TDS Challan from the Income Tax website. However, you can also get the details of the TDS to be deducted from the payee. The payee should give you a TDS Certificate, which gives you the details of the TDS that has to be deducted from your payment.
How to pay TDS challan online?
Follow these 5 steps to pay your TDS online Challan 1. Log on to the Income Tax e-Filing portal – https://www.incometaxindiaefiling.gov.in/ 2. Click on ‘Pay TDS’ tab 3. Choose the TDS Type – You should select the TDS type based on the details mentioned in the TDS Certificate, issued by the payee. For example, If a payee has issued a TDS certificate saying, ‘100% TDS is applicable.’, then you should select ‘100%’ from ‘TDS Type’ drop-down menu. 4. Enter Challan Number – Enter the Challan number given to you by the payee. 5. Click on “Submit”.
Documents required to pay TDS challan online?
– You need to have the following documents handy to pay your TDS online
– Challan- You should have the Challan number, which was issued to you by the payee, who issued the TDS Certificate.
– TDS Certificate
– You should have the TDS Certificate issued to you by the payee, who is liable to pay you TDS.
– PAN Card
– You should have your PAN Card to pay the TDS amount online.
Note: If any of these documents is missing, you can follow these steps to pay your TDS amount online – • Get a Challan Form: You can get a Challan Form by visiting the government e-Filing website.
– Get a TDS Certificate: You can obtain a TDS Certificate from the payee, who has issued the TDS Certificate.
– Get a PAN Card: You can get a PAN Card by applying online.
Tips to pay your TDS Online Challan
– You can pay your TDS online Challan by following the above steps. If there is a mistake in your TDS online Challan, you can edit or rectify it by following the above steps. – You can print the copy of the Challan Form to keep it as a record. You can also ask the payee to issue a TDS Certificate, which is a proof of TDS payment. – You can open an account with a digital or online banking facility. You can use this account to pay your TDS online Challan. – You can pay your TDS online by visiting the government e-Filing website. – You should pay your TDS amount by the due date, mentioned in the TDS Certificate. If you fail to pay the TDS amount by the due date, you will have to pay a penalty. – You can also pay your TDS Challan using your debit card or credit card. – TDS is applicable for payments made to contractors, sub-contractors, for labour employed in construction work, for medical services and for renting property.
TDS Challan is a document that is issued to an entity that has to deduct tax at source. The person responsible for collecting TDS must file the TDS return on or before the Due Date prescribed in the Income Tax Act of the particular financial year. The above article talks about how you can pay TDS online and get your TDS Challan receipt. It also talks about what is TDS Challan, how to pay TDS Challan online, documents required to pay TDS Challan online, tips to pay your TDS online Challan and conclusion.