As we all are aware that the due date of TDS return filing is coming closer for 4th Quarter i.e. 31st May, 2020 for FY 2019-20. Hence this article is kind of reminder for all taxpayers to be compliant towards filing of return within due date to avoid unnecessary interest and late fees. Today I am coving here the consequences of non filing of tds return or non deduction and non payment of TDS.20943196

i. Late filing fee (if you do not file by the deadline) [Section 243E]:

Deductor will be liable to pay the way of fee Rs.200 per day till the failure to pay TDS continues. However, the penalty should not exceed the amount of TDS for which statement was required to be filed.

ii. Interest (if you do not deposit the TDS amount in time)

Non deduction of tax at source, either in whole or in part – 1% per month from the date on which tax deductable to the date on which tax is actually deducted

Non payment of tax either in whole or in part – 1.5% per month from the date of deduction to the date of payment

Note:

1) The above interest should be paid before filing of TDS return.

2) Please note that the part of a month is considered as a full month at the time of calculation of interest.

iii. Penalty under section 271H

The provisions of section 271H of the Income Tax Act penalizes the Deductor who fails to furnish the Tax Deducted at Source (TDS) return within the prescribed due dates. Section 271H also penalizes the Deductor who furnishes incorrect information while filing the TDS return. As per Section 271H, the defaulter would be liable to pay a minimum penalty amount of INR 10,000, however, the maximum penalty amount may extend till INR 1,00,000.

Read More about Penalty and fine on late filing of TDS return :-

Fees & Penalty for late / Non filing of TDS Return

Republished with Amendments

Author Bio

Qualification: CA in Practice
Company: Taxguru Consultancy / Taxguru Edu
Location: Mumbai, Maharashtra, IN
Member Since: 27 Feb 2017 | Total Posts: 842
A Blogger by Passion and a Chartered Accountant by Profession. View Full Profile

My Published Posts

More Under Income Tax

0 Comments

  1. Sayali Mahajan says:

    on 4th of September i filed the tds Q2 return , but on 5 September there is a update was uploaded , request you to sir please tell me do is there any problem may arise,,??? waiting for your replies

  2. NISHANT says:

    WHEN A TAN NO APPLIED ON MAY 2014 AND ISSUED BY NSDL ON 05.06.2014 THAN WHAT REMEDY APPLICABLE IN LATE TDS DEPOSITED AND LATE FILLING OF RETURN
    KINDLY SUGGEST ME

  3. sushila tuscano says:

    we have deposited interest and tds amount in same challan showing interest seperately in challan
    while filing return also we have shown interest seperately
    still default is created
    please help me out if i have missed anything

  4. Joykumar says:

    Non filing of Form 24G by TOs often leads to delay of filing e-tds by DDOs. In the case of delay due to late generation of BIN, who is liable to pay the late fee/penalty @ Rs.200 per day per quarter- TO or DDO? Why should DDO pay late fee for his no fault. IT Dept should not blindly impose penalty. Instead they should check when BIN was generated first, then when e-tds was filed by the DDO. there is penalty for late filing of e-tds. But is there penalty for late generation of BIN? Don’t put the horse before the cart. Kindly advise.

  5. D. Diswas says:

    Monthly accounts are submitted to Pay & accounts as they act as agent of Reserve Bank of India. income tax deduction also shown. No money transactions are happened during Income Tax deduction of contractors & staffs. submission of statement may be happened delay due to non availability of computer facility & untrained personnel also short fall of staffs to act as on be half of the INCOME Tax Deptt. of India, besides DDOs are busy with their own duties for which they are paid , not paid by the income tax department .so why the DDOS will be charged fine for Late submission of TDS. Income tax department may contact with the Pay & accounts deptt. of the concerned State or Reserve bank of India to know the revenue from whom they have received or they may engaged there officer to collect data from the DDOs for their departmental interest or make some head of accounts where the DDOs can deposit Cheque with detail statement favoring the Income Tax Department. Every one should keep in mind that Govt. Deptt. are not Equip & trained with online Business. Rethinking is required from the govt. lelel.

  6. Ashwini says:

    I have file the tds return of financial year 2008-2009 to 2012-2013,
    department send me notice of penalty and interest on late filing of return ,
    i paid all the amount of penalty and interest of all the notice which was due on me, after the payment of dues department send again notice for payment.
    what will i do for this. should i file the returns again? Please help me

  7. ABHIJIT MAJUMDAR says:

    IT IS A HUGE BURDEN TO THE SCHOOLS AND GOVT DEPARTMENTS ,IN CASE OF FAILURE TO SUBMIT TDS RETURNS HOW THEY WILL PAY SUCH A HUGE LATE FEE.MANY RURAL SCHOOLS ARE LOCATED FARAWAY FROM TOWN ,IT IS VERY MUCH POSSIBLE THAT WITHIN ONLY 15 DAYS FILING OF TDS RETURN IS IS NOT HAPPENED,THERE MUST BE SOME LENIENCY,UCH STRICTNESS IS VERY UNFORTUNATE AT LEAST THERE SHOULD BE SOME SCOPE OF APPEAL

  8. NAVEEN GOYAL says:

    hi
    on 3rd of january i filed the tds q3 return ,, but on 4 or 5 january there is a update was uploaded ,, request you to sir please tell me do is there any problem may arise,,???
    waiting for your replies

  9. S P SHARMA says:

    Dear Sir,
    DDO is liable to pay LATE FEES & PENALTY for not filing e-tds/e-tds return but in DARJEELING-WEST BENGAL all the state government offices draw their salary through DARJEELING TREASURY OFFICE and DARJEELING TREASURY OFFICE is lible to file FORM 24G and have to issue BIN for filing e-tds return to all DDO’s. As you know there is no option to file e-tds/e-tcs returns without having BIN and Darjeeling Treasury Officer is not filing FORM 24G retun in time and due to these reasons the respective DDO’s are received notices of LATE FEE from TRACES. It is the fault of TREASURY OFFICE then why the DDO will have to pay LATE FEES. Please guide me the options to save the DDOs

  10. Mohan T says:

    My residence has shifted to another area which comes under the control of another IT office.
    Can I file the ITR with the same AO with whom I have been filing my return for the last 15 years.

  11. NAVEEN GOYAL says:

    hi
    on 3rd of january i filed the tds q3 return ,, but on 4 or 5 january there is a update was uploaded ,, request you to sir please tell me do is there any problem may arise,,???
    waiting for your replies

  12. c p chugh says:

    With the NSDL acceptance of TDS/TCS statements going online, all are advised to submit quarterly statement well in advance. No one knows the strength of NSDL Portal with so many (thousands of) TIN_FC logining and uploading statement may cause server break downs. ITD’s is not going to listen if your statement could not be submitted on or before due date and TDS CPC online processing software would invariable calculate late fee u/s 234E. Better to be wise and furnish before time.

Leave a Comment

Your email address will not be published. Required fields are marked *

Search Posts by Date

October 2020
M T W T F S S
 1234
567891011
12131415161718
19202122232425
262728293031