TDS has really been Tedious to comply and with many flaws in the administration it has become more painful.  Just look at the few examples.
1.  Back last year at the instruction of DIT System NSDL stopped accepting Y (Cancellation) Statements.  In the last  few days we have querries from at least Five people asking solution where a quarterly statement has been wrongly submitted by some one else using their TAN.

a) They are prevented for uploading another regular statement as one has alredy been furnished.
b) They are unable to request for Consolidated Statement in the absence of PRN and Validation details.
One such live example is of a client who has one challan to report with five deductees and found his return already been uploaded by a branch of bank……………..about 300 km away from his place.
After great efforts and with the co-operation of ITO TDS he was able to get PRN and validation details.  On downloading conso file he found there are 1100 entries out of which700 relates to persons without PAN……………………….Now it is really a great and painful job to furnish currection statement inserting actual five entrues and by deleting all 1100 entries one by one…………………………………….?
DIT (system) should revisit its decision to furnish cancellation statements filed under a Wrong TAN. It would be really helpful. Alternatively it can allow ITO TDS to cancel a statements after due dillegence and  statisfaction of correctness of facts.
2.   TRACES at its own on number of occasions have found matched and booked challan which are wrong in material facts like BSR Code, CIN and even Amount.
This also happens to BIN details wrongly provided in earlier statement which one wants to correct  but being booked the system does not allow the same.
Present system does not allow to make any change in booked challan except for updating interest figure or code.
This also is causing hardship to Deductors.
3.    Challan status is availble at TRACES after 72 Hrs while it is mandatory to include csi file while validating statements.  Those deductors who have deposited the tax on the due date have to wait for another 3-4 days to get its statement validated and are faced with late fee u/s 234E. (Though many of us has devised ways and  means to side trac this problem) yet legally it is unfair to ask a deductor to wait for 3-4 days till the csi file is available and pay fee for no fault of his.
4.    Those who have validated returns without csi file or with a file not containing the challan details included in the statement are now facing the heat of over-enthusiasm of TRACES.  Statements furnished on 10th July have already been processed on 13th July even before the challan deposited on 10th July could appear in TRACES with a result the challan being shown as mis match and demand generated.
5.  Last but not the least Fee u/s 234E is very pinching and must be agitated at all available platforms.  Thanks and hoping
(Article is Compiled by Advocate C. P. Chugh)

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0 responses to “TDS become Tedious and Painful to Comply”

  1. Sadashiv says:

    There is partiality rule applying for Government and non Government Deductor,
    Even Income tax department issue F16 in old not downloaded tds traces websites.

  2. HARSHADRAI says:

    If Govt. introduce TDS CHALLAN-CUM-FORM NO 16A then many problem will be solved. No need to download Form No 16A from TRACES. No mismatching.If TDS paid intime No 234E. Deductor is unpaid servant of Govt. and 234E is TAX TERRORISUM but no wrod from FM.

  3. Waseem says:

    Sir,
    Another problem with TDS is the Late Payment Calculation by the software. In my case 12 days delay in payment of TDS is being calculated as 2 months delay, which can be seen in the Justification Report. I was told even 1 day delay will result in the same. This needs to be updated.

    Waseem
    Company Secretary
    Hyderabad

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