The concept of Tax Deducted at Source (TDS) serves as a shield against tax evasion and financial losses by implying mandatory deductions from payments at predetermined rates. Whether you receive a salary from your employer, fees from a client, or interest on your bank deposits, there are specific rules and rates that dictate the deduction of TDS.
The responsibility falls on the payer to deduct the TDS and remit it to the Indian government, while the recipient receives the net amount after the TDS deduction. This deducted amount is considered part of the tax paid, and if an excess amount has been deducted, individuals can file returns to claim a refund from the Income Tax Department.
In this article, we have tried our best to provide you with a comprehensive, step-by-step guide to filing TDS returns without relying on expert assistance or any specialized software.
Procedure to File Online TDS Returns
To avoid future procedural complications, it is advisable to handle the process of filing TDS returns diligently. Here are the key steps involved:
- Completing Form 27A: This physical form consists of multiple columns that need to be accurately filled. It serves as a verification document alongside the electronically filed e-TDS return.
- Including Payment Details: The TDS return must include detailed information about the tax paid, including the mode of payment and the relevant challan number. Any mistakes in filling the challan numbers or payment dates can lead to future mismatches and the need for re-filing.
- Providing Correct TAN Number: Form 27A should contain the correct Tax Deduction and Collection Account Number (TAN) of the organization filing the TDS return. Any errors in this field can complicate the matching and verification process.
- Correct TDS Forms: It is important to accurately match and enter the correct sum of money paid and the tax deducted at the source into the appropriate forms. Precision is essential to prevent any inconsistencies or differences.
- Using Standardized Forms: It is mandatory to use the recommended e-TDS return form provided by the tax department to ensure consistency. Precisely input the 7-digit Basic Statistical Return (BSR) code for easy reconciliation with the actual tax deposited.
- Disclosure of TDS Return: If all the information provided in the TDS return is accurate, a provisional receipt or token number will be issued as an acknowledgement of the filed return. In the case of rejection, a non-acceptance memo will be issued, along with reasons for the rejection. In such instances, the returns will need to be re-filed to address the identified issues.
Read Also: Mastering Income Tax – A Deep Dive into the Income Tax Certification Course
How Can I File a TDS Return Without Any Software Help?
If you’re looking to file TDS returns online without relying on experts or software, here are some important points to consider:
Records and Collecting Data
For each TDS return, there are two forms:
- Form 24Q: Contains information about TDS deducted and deposited on salaries.
- Form 26Q: Includes details of TDS deducted and deposited on income except salary.
Stage 1: Start by organizing your data in the prescribed format. The compilation process is crucial and makes the filing of TDS returns easier. You’ll need to fill in two types of data in the TDS return utility:
- Data/Information related to challans.
- Details/Information of the deductee for whom a challan is being submitted. Compile all the details challan-wise.
First, compile the details that will be presented in the challan. There are two types of challans: There is a challan for TDS deposit under section 192 (for salaries). The first type of challan is for filing Form 24Q (salary details) and the second type of challan is for filing Form 26Q (details other than salary).
Important Essential Facts About Tax Challan
| Tax challan amount | BSR code of bank where tax challan is deposited | Tax challan date deposited (stated on the challan itself) | Amount of tax challan | Number of serial challan (mentioned on challan itself) | In the majority of cases, a minor head of challan will be 200. (400 code will be in instances where the Income-tax department itself raises a TDS demand) |
Note: Apart from compiling data for all the challans, another task is to compile the details deductee-wise.
The compilation of deductible-wise details will require specific fields. Use the provided format for Form 24Q. Similarly, Form 26Q will need the format and information available in each head for submitting the form. Once you have compiled the data, proceed to download the utility for filing the return.
Downloading and Extracting FVU Utility Files
You need to download two utility files: one for data entry and the other for filing the return. There is also a third file, the challan detail file, that must be downloaded.
First Download: Open the following link in your browser – [https://www.tin-nsdl.com/services/etds-etcs/etds-rpu.html](https://www.tin-nsdl.com/services/etds-etcs/etds-rpu.html) – and download the ‘Return Preparation Utility’ (RPU).
Second Download: The second file that you need to download is the FVU file, which stands for ‘File Verification Utility.’ Access the link available at [https://www.tin-nsdl.com/services/etds-etcs/etds-file-validation-utility.html](https://www.tin-nsdl.com/services/etds-etcs/etds-file-validation-utility.html) to download it.
Third Download: Open the TIN website or visit [https://tin.tin.nsdl.com/oltas/servlet/TanSearch](https://tin.tin.nsdl.com/oltas/servlet/TanSearch) and download the ‘challan detail file’.
The form is easily accessible on the website. Provide your Tax Deduction and Collection Account Number (TAN) and the relevant period in the form. Then, click on the “Download Challan File” option. Save the generated file in the same folder as the other two earlier downloads, as it will be used later.
Once you have downloaded both the utility files and the challan detail file, extract the utility files first. Start by using the RPU file to enter the data. The FUV file will be used later when filling in the data in the RPU. Open the RPU.exe file and input the required information.
Data Filling Process Using RPU Utility
The taxpayer’s data-filling process using the RPU utility requires the necessary information to be entered accurately. Upon opening the utility, a window similar to the provided screenshot will be displayed.
The next step is to choose the appropriate form based on the taxpayer’s preference. We will be guiding you with both Form 24Q and 26Q. Let’s begin with Form 24Q, which is utilized for salary deductions.
Choose TDS Form 24Q from the Dropdown List
It will lead you to a new page, allowing the deductee to enter their personal details such as name, TAN, addresses, PAN, financial year, quarter, type of entity, responsible person, and their respective information. After completing these details, click on the challan tab.
Next, fill in all the requested information in the challan section for the specific quarter in which the assessee intends to file the return.
Important Points to Remember
- Refer to the image attached below and provide the required details such as amount, challan number, Bank’s BSR number, date, etc.
- Once all the data has been filled in, the taxpayer should proceed to enter the details deductee-wise for each challan. When stepping further to the Annex section, the previously compiled details should be filled in the corresponding fields. Many fields can be easily copy-pasted for convenience.
- After ensuring that all the forms are adequately filled, perform a brief review. Once satisfied, click on the save button to save the file as the image provided below. A new editable file with the name “form+qtr” will be generated, allowing for future edits if necessary.
- Next, to facilitate the filing process, a separate file needs to be created. Click on “create,” which will prompt a dialogue box requesting a CSI File.
- Select the desired folder to store the error file (the path will be automatically chosen when clicking on it), then click on ‘Validate’.
- The file validation utility (FUV) will generate a file. Extract the FUV utility and open the jar file. This action will open a small window.
- Upload a Challan input file and a TDS input file. The utility will provide a path to a new error file, which needs to be generated. Refer to the provided image for guidance.
- After clicking “OK,” an error file will open in the browser. Review and correct the errors, then try again. Once all errors have been resolved, a new file in PDF format, known as Form 27A, will be generated. This file can be directly uploaded or sent for filing.
Prefer TDS Form 26Q From the Dropdown Checklist
When filling out the Form 26Q, the steps remain the same as in Form 24Q. However, there is a slight difference as additional information needs to be provided while filling in the deductee details.
Fortunately, this process becomes more convenient as we have already compiled the necessary information in our designated format, as mentioned in this article. All other procedures remain similar for both forms. It is advisable for every taxpayer to attempt filing their TDS return independently.
Initially, some individuals may encounter challenges, but once the format is established, the process becomes significantly easier. The aforementioned steps are provided to simplify the return filing process. Developing the habit of manually organizing data and diligently tracking each transaction helps avoid last-minute confusion.
Note: Please note that whenever a new payment is made, requesting a copy of the PAN and updating it will contribute to a smoother filing process.
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