Section 234E

TDS Certificates – Detailed Discussion

Income Tax - As we all are aware that the TDS return process will consider as incomplete until the Valid TDS certificate has been issued by the deductor. Now if we focus on the word Valid TDS Certificate, it means Form 16/ Form 16A issued by authenticated authority. As on the current date the TRACES have the authorisation […]...

Read More

TDS implication on purchase of property from NRI

Income Tax - It is essential to note that in case of purchase of property, the buyer is responsible for deducting the applicable tax at source (i.e. TDS) and deposit the same with the Government. Since the buyer is required to deduct the TDS, he would obviously be required to fulfil all the relevant compliance like TDS payment; […]...

Read More

Consequences of TDS defaults under Income Tax Act 1961

Income Tax - TDS/TCS compliances is one of the major compliance under Income Tax Act, 1961 and has a wide scope of its applicability to the business organizations. Small businesses are not much aware of the overall implications of non compliances of the TDS/ TCS provisions and ends up in paying the higher penal charges due to not following the deadlin...

Read More

All about TDS returns

Income Tax - So the due date for filing of TDS return for 4th quarter (Jan 15-Mar 15) is 15th May 2015 which is about to come. As TDS return is required to be submitted electronically in some cases which can be prepared with the help of return preparation utility, to make this cumbersome process an easy one govt. has introduced a TDS Return Preparatio...

Read More

TDS on sale of Immovable Property- CPC issuing intimation for late TDS deposit

Income Tax - In its latest move to penalise late payers of TDS, the CPC TDS has started issuing intimation u/s 200A of the Income Tax Act’1961 to the deductors u/s 194IA i.e the buyers of property who have paid TDS U/s 194IA late. The CPC TDS is not only charging interest u/s 201 but also late fee u/s 234E of the Act....

Read More

6 Suggestions for Amendments in Income Tax Act by BCAS

Income Tax - Bombay Chartered Accountants' Society has made a Representation on 'Suggestions for Amendments in the Income Tax Act', on 24th May, 2019, to the Joint Secretary TPL, Central Board of Direct Taxes, Ministry of Finance, Government of India....

Read More

Reduce fee u/s. 234E from Rs.200/- per day to Rs.100/- per day

Income Tax - RECOMMENDATION FOR REDUCING THE FEE UNDER SECTION 234E FOR DEFAULT IN FURNISHING STATEMENTS OF TDS AND TCS FROM RS.200/- PER DAY TO RS.100/- PER DAY The levy of mandatory fee u/s. 234E at the rate of Rs.200/- per day for default in furnishing of Statements of TDS u/s. 200(3) and TCS u/s. 206C(3) has been […]...

Read More

Incomplete TDS certificates issued by deductor delaying Income tax refunds

Income Tax - Many Taxpayers had a tough time getting a refund of the tax deducted against his fixed deposits with public sector banks, as the tax deduction at source (TDS) certificates issued to them by the banks did not mention there permanent account number (PAN). Depositors of banks and post offices — especially pensioners — are put to a lot o...

Read More

CPC TDS Wing is not an ‘External Agency’ for CBDT Circular

ITO Vs Ajmer Vidhyut Vitran Nigam Ltd (ITAT Jaipur) - ITO Vs Ajmer Vidhyut Vitran Nigam Ltd (ITAT Jaipur) Exception 10(e) to the aforesaid CBDT Circular relates to cases where addition is based on information received from external sources in the nature of law enforcement agencies such as CBI/ ED/ DRI/ SFIO/ Directorate General of GST Intelligence (DGG...

Read More

If two Constructions are Possible then one in Favour of Assessee should be Applied

Popular Catering Services Vs DCIT (ITAT Mumbai) - The issue under consideration is whether late fee u/s 234E can be levied prior to 1.6.2015 i.e. prior to enactment of section 234E?...

Read More

Section 234E Late filing fees for TDS return is Mandatory: ITAT

Block Development Officer Vs ACIT (ITAT Jaipur) - The issue under consideration is whether the late filing fees for TDS return u/s 234E is mandatory in nature or it can be condone if there is reasonable cause?...

Read More

Amendment in Section 200A dated 01.06.2015 are prospective

Keshav Industries Pvt. Ltd. Vs. ITO-TDS (ITAT Indore) - Keshav Industries Pvt. Ltd. Vs ITO-TDS (ITAT Indore) Amendment dated 01.06.2015 in Section 200A of the Income Tax Act, 1961 is prospective in nature and cannot be applied retrospectively to previous TDS instances The ITAT Indore in Rajendra Prasad Tiwari (through Aakash Tiwari) Vs. Income Tax Depar...

Read More

Section 234E late fees leviable despite existence of reasonable cause

Government Secondary School Principal Officer Vs ACIT, CPC-TDS (ITAT Jaipur) - Government Secondary School Principal Officer Vs ACIT (ITAT Jaipur) The issue under consideration is whether the late filing fees u/s 234E can be deleted if there is a ‘reasonable cause’ for such default? In the present case, the assessee is the Principal of Secondary School and responsible for ...

Read More

Suggest Situation justifying waiver of Section 234E fee : CBDT

F. No. 275/27/2013-IT (B) - (02/08/2016) - The Board is examining the desirability and expediency of prescribing situation/circumstances under which levy of fee under Section 234E may cause genuine hardship to the taxpayers, so as to prescribe guidelines for waiver of such fees by virtue of the powers of the Board under Section 119(2)(a) of ...

Read More

CBDT extends due of TDS/TCS statement for Govt. deductees – No Refund of Fees Paid U/s. 234E

Circular No. 07/2014 - Income Tax - (04/03/2014) - CBDT Circular No. 07/2014 All Chief Commissioners of Income-tax All Directors General of Income-tax Sub: Ex-post facto extension of due date for filing TDS/TCS statements for FYs 2012-13 and 2013-14 – regarding The Central Board of Direct Taxes ('the Board') has received several petitions f...

Read More

Tax audit & ROI due date extended to 31.10.2013 for A.Y. 2013-14

Order under Section 119 - F. No. 225/117/ 2013/ ITA.II - (24/10/2013) - In exercise of powers conferred under section 119 of the Income tax Act, 1961, the Central Board of direct Taxes, in continuation to order u/s 119 dated 26.09.2013 in F. No. 225/117/2013/ITA.II, hereby directs that in cases where the ‘due date’ of furnishing reports of audit and corresponding in...

Read More

How to Calculate TDS on Salary – AY 2013-14 / FY 2012-13

Circular No. 8/2012-Income Tax - (05/10/2012) - Circular no. 8/2012-Income Tax The present Circular contains the rates of deduction of income-tax from the payment of income chargeable under the head Salaries during the financial year 2012-13 and explains certain related provisions of the Income-tax Act, 1961 (hereinafter the Act) and Income-tax ...

Read More

Recent Posts in "Section 234E"

CPC TDS Wing is not an ‘External Agency’ for CBDT Circular

ITO Vs Ajmer Vidhyut Vitran Nigam Ltd (ITAT Jaipur)

ITO Vs Ajmer Vidhyut Vitran Nigam Ltd (ITAT Jaipur) Exception 10(e) to the aforesaid CBDT Circular relates to cases where addition is based on information received from external sources in the nature of law enforcement agencies such as CBI/ ED/ DRI/ SFIO/ Directorate General of GST Intelligence (DGGI). In the instant case, the assessee ha...

Read More

If two Constructions are Possible then one in Favour of Assessee should be Applied

Popular Catering Services Vs DCIT (ITAT Mumbai)

The issue under consideration is whether late fee u/s 234E can be levied prior to 1.6.2015 i.e. prior to enactment of section 234E?...

Read More

TDS Certificates – Detailed Discussion

As we all are aware that the TDS return process will consider as incomplete until the Valid TDS certificate has been issued by the deductor. Now if we focus on the word Valid TDS Certificate, it means Form 16/ Form 16A issued by authenticated authority. As on the current date the TRACES have the authorisation […]...

Read More
Posted Under: Income Tax | ,

Section 234E Late filing fees for TDS return is Mandatory: ITAT

Block Development Officer Vs ACIT (ITAT Jaipur)

The issue under consideration is whether the late filing fees for TDS return u/s 234E is mandatory in nature or it can be condone if there is reasonable cause?...

Read More

Amendment in Section 200A dated 01.06.2015 are prospective

Keshav Industries Pvt. Ltd. Vs. ITO-TDS (ITAT Indore)

Keshav Industries Pvt. Ltd. Vs ITO-TDS (ITAT Indore) Amendment dated 01.06.2015 in Section 200A of the Income Tax Act, 1961 is prospective in nature and cannot be applied retrospectively to previous TDS instances The ITAT Indore in Rajendra Prasad Tiwari (through Aakash Tiwari) Vs. Income Tax Department, had on 14/07/2020 brought a landm...

Read More

Section 234E late fees leviable despite existence of reasonable cause

Government Secondary School Principal Officer Vs ACIT, CPC-TDS (ITAT Jaipur)

Government Secondary School Principal Officer Vs ACIT (ITAT Jaipur) The issue under consideration is whether the late filing fees u/s 234E can be deleted if there is a ‘reasonable cause’ for such default? In the present case, the assessee is the Principal of Secondary School and responsible for deducting tax at source, depositing the ...

Read More

TDS implication on purchase of property from NRI

It is essential to note that in case of purchase of property, the buyer is responsible for deducting the applicable tax at source (i.e. TDS) and deposit the same with the Government. Since the buyer is required to deduct the TDS, he would obviously be required to fulfil all the relevant compliance like TDS payment; […]...

Read More
Posted Under: Income Tax | ,

Consequences of TDS defaults under Income Tax Act 1961

TDS/TCS compliances is one of the major compliance under Income Tax Act, 1961 and has a wide scope of its applicability to the business organizations. Small businesses are not much aware of the overall implications of non compliances of the TDS/ TCS provisions and ends up in paying the higher penal charges due to not following the deadlin...

Read More
Posted Under: Income Tax |

All about TDS returns

So the due date for filing of TDS return for 4th quarter (Jan 15-Mar 15) is 15th May 2015 which is about to come. As TDS return is required to be submitted electronically in some cases which can be prepared with the help of return preparation utility, to make this cumbersome process an easy one govt. has introduced a TDS Return Preparatio...

Read More
Posted Under: Income Tax |

TDS on sale of Immovable Property- CPC issuing intimation for late TDS deposit

In its latest move to penalise late payers of TDS, the CPC TDS has started issuing intimation u/s 200A of the Income Tax Act’1961 to the deductors u/s 194IA i.e the buyers of property who have paid TDS U/s 194IA late. The CPC TDS is not only charging interest u/s 201 but also late fee u/s 234E of the Act....

Read More
Posted Under: Income Tax | ,

Fees & Penalty for late / Non filing of TDS Return

No filing or Late filing of TDS returns or TDS statement shall invite 2 penal consequence 1.Fee for late filing U/s 234E and 2. Penalty for late filing or Non filing of TDS statement U/s 271H....

Read More
Posted Under: Income Tax | ,

Late Fees under Section 234E – Different Point of View

Of late this month we must have received lot of demands from CPC seeking demand for non remittance of 234E FEES (not Tax). 234E will not apply to cases where TDS payment is made beyond the time limit prescribed for payment of TDS u/s 200(3) ...

Read More
Posted Under: Income Tax |

Section 234E – Fees for Late filing of TDS Return

Without prejudice to the provisions of the Act, where a person fails to deliver or cause to be delivered a statement within the time prescribed in sub-section (3) of section 200 or the proviso to sub-section (3) of section 206C, he shall be liable to pay, by way of fee, a sum of two hundred rupees for every day during which the failure co...

Read More
Posted Under: Income Tax |

File TDS return on time to avoid Penalty / Late Payment Fees

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 […]...

Read More
Posted Under: Income Tax | ,

Section 234E is not violative of Constitution of India: Madras HC

Qatalys Software Technologies Private Limited Vs Union of India (Madras High Court)

Qatalys Software Technologies Private Limited Vs Union of India (Madras High Court) Revenue is right in contending that Section 234 (E) of the Act is not a penalty. Penalty is levied under Section 271 (H) and is not automatic. Penalty is levied only when tax is deducted at source along with interest fee is not deposited […]...

Read More

Interest, Penalty, Prosecution & Other Consequences of TDS Defaults

1. Prosecution etc. : U/s. 276B If a person deducts tax at source etc. but fails to pay the same to the credit of Central Government as prescribed, he can be sentenced to rigorous imprisonment for a term not less than 3 months and extendable upon 7 years with fine as well. Moreover, u/s 276BB, similar punishment is provided for a person ...

Read More
Posted Under: Income Tax | ,

Section 234E – How to pay Fees for Late filing of TDS Statement?

Download the Justification Report from TRACES portal to view your latest outstanding demand. On downloading the Justification Report.Use Challan ITNS 281 to pay the above with your relevant Banker or use any other Challan, which has adequate balance available...

Read More
Posted Under: Income Tax | ,

No Authority under Law to Levy Section 234E Penalty prior to 01.06.2015

Ajvin Infotech Pvt Ltd Vs DCIT (ITAT Delhi)

Therefore, according to the Finance Act, 2015, prior to 01.06.2015, your good self had no authority to levy fee, if any, under Section 234E of the Act and thus levy of fee under Section 234E of the Act while processing the statement is beyond the scope of Section 200A of the Act....

Read More

Section 234E Late Fee for default in filing of TDS / TCS returns

The Deductor of tax (TDS) or the Collector of tax (TCS) is required to file the TDS / TCS returns within prescribed due dates. In case of any delay, the Deductor or the Collector would be liable to pay a late fee for non-filing / late filing of TDS / TCS returns as per provisions […]...

Read More
Posted Under: Income Tax |

TDS Provision for FY 2019-20

Generally the person who earns the income pays tax on such income either in the form of advance tax or in the form of self-assessment tax. However in certain situations, the person making prescribed payments is required to deduct tax from such payments (at prescribed rates) and deposit the tax so deducted with the Government. […]...

Read More
Posted Under: Income Tax |

Section 194IA Purchase of Immovable Property from Resident- Analysis

This article discuss Provisions and Scope of Section 194-IA, Payments covered, Who is Payer/Payee, Conditions to be satisfied for applicability of section 194-IA, Time of deduction of tax, Rates of TDS, Effect of non-furnishing of PAN on rate of tax, Certificate/statement for tax deducted at source, Furnishing of statements by tax deducto...

Read More
Posted Under: Income Tax |

TDS return filed beyond time cannot be declared as non est in law

Scotts Garments Ltd. Vs ACIT (ITAT Bangalore)

TDS return filed beyond time cannot be declared as non est in law and that the CIT(A) does not have powers of enhancement in an appeal against an order under section 200A. The CIT(A) cannot travel beyond the subject-matter of the appeal, which was as to whether fee under section 234E can be levied or not; and not the question, whether t...

Read More

Section 234E Fees for each purchased flat justified for delay in and for non-filing of Form 26QB

M/s. Cornerview Construction & Developments Pvt. Ltd. Vs ACIT (ITAT Mumbai)

M/s. Cornerview Construction & Developments Pvt. Ltd. Vs ACIT (ITAT Mumbai) Now, coming to the primary contention of the learned Authorised Representative that all the transactions relating to purchase of flats should be taken as a single transaction for the purpose of filing the IDS statement and computing fee under section 234E of t...

Read More

Section 234E: Assessee not liable for late filing charges for the period prior to June, 2015

Gangamai College of Engineering Vs ACIT, CPC (TDS) (ITAT Pune)

Assessee could not be held liable for levy of late filing charges under section 234E for the period prior to June, 2015 in the absence of amendment to section 200A, which was brought on Statute from 1-6-2015....

Read More

No late fees on TDS Statements filed before 1st June 2015

Permanent Magnets Ltd. Vs DCIT (ITAT Mumbai)

Permanent Magnets Ltd. Vs DCIT (ITAT Mumbai) It has been held that the TDS statements which have been filed earlier to 01.06.2015 then no fee is leviable u/s 234E of Income Tax Act, 1961. FULL TEXT OF THE ITAT JUDGEMENT The above mentioned appeals have been filed by the assessee against the order dated 06.08.2018 […]...

Read More

Section 234E fee for delay in TDS statement filing leviable on each flat purchase  instead of single transaction

Cornerview Construction & Developers Pvt. Ltd. Vs ACIT (ITAT Mumbai)

When assessee itself had filed separate TDS statements in respect of the tax deducted at source relating to the respective flats, while processing such statements under section 200A, AO had to levy fee under section 234E taking into account the delay in filing each of the statements and the levy of fee prescribed under section 234E could ...

Read More

Validity of Late Fees / Interest U/s. 234A,B,C,F by CPC Bengaluru

Whether Late fee on tds statement U/s 234E or interest U/s 201(1A) or late fee on income tax return U/s 234F or interest U/s 234A, 2134B, 234C be levied by TDS-CPC, Ghaziabad/Income Tax CPC Bengaluru?...

Read More
Posted Under: Income Tax |

Need to extend Income Tax Return due date of July 31 to December 31

Taxpayers faced a lot of problem last year and even pensioners/ senior citizens paid late fees on late filing of returns. With a view to make tax system taxpayers friendly and cooperative, the due date of 31st July should be changed to 31st December, every year. The coming central budget(on 5 July 2019) may consider the above mentioned ...

Read More
Posted Under: Income Tax |

6 Suggestions for Amendments in Income Tax Act by BCAS

Bombay Chartered Accountants' Society has made a Representation on 'Suggestions for Amendments in the Income Tax Act', on 24th May, 2019, to the Joint Secretary TPL, Central Board of Direct Taxes, Ministry of Finance, Government of India....

Read More
Posted Under: Income Tax |

How to Save Fee Leviable U/S. 234E for Late / Non Filing of TDS Returns

According to Section 234E of Income Tax Act, a fee for late / non filing of the TDS Return is leviable at the rate of Rs. 200 per day for the period of failure (Not more than the amount of TDS)....

Read More
Posted Under: Income Tax | ,

Fees U/s. 234E leviable on all TDS return filed late after 01.06.2015

Shri Uttam Chand Gangwal Vs ACIT (ITAT Jaipur)

Irrespective of the period to which the quarterly return pertains, where the return is filed after 1.6.2015, the AO can levy fee under section 234E of the Act....

Read More

Appeal cannot be condoned for delayed download of notice served online

P3P Ventures (P) Ltd. Vs DCIT (ITAT Delhi)

When TDS returns/statements had been filed by assessee for each quarter online and orders had been served upon assessee online for payment of the late fees, assessee was not justified in contending that it had not received any communication in respect of late fee imposed under section 234E neither any such communication came to the knowle...

Read More

Interest u/s 234E cannot be levied in respect of TDS returns filed prior to 1.6.2015

M/s. Terra Infra Development Limited Vs. Income Tax Officer (ITAT Hyderabad)

M/s. Terra Infra Development Limited Vs ITO (ITAT Hyderabad) Provisions for levy of fee in certain cases has been brought into the Statute book w.e.f. 1.7.2012, it has been brought under the purview of section 200A only w.e.f. 1.6.2015. Therefore, as rightly held by the Coordinate Bench in the case of M/s. Sonalac Paintings & [&hellip...

Read More

S. 234E Late Fee cannot be imposed without passing of Speaking Order

Origins Build-Tech Pvt Ltd Vs Asstt. Commissioner of Income-tax (ITAT Ahemdabad)

Origins Build-Tech Pvt Ltd Vs ACIT (ITAT Ahemdabad) adjustment in respect of levy of fees under section 234E was indeed beyond the scope of permissible adjustments contemplated under section 200A. This intimation is an appealable order under section 246A(a), and, therefore, the CIT(A) ought to have examined legality of the adjustment mad...

Read More

Section 234E fees cannot be levied for Quarter ending before 01.06.2015

TB and ID Hospital Vs ITO (ITAT Cuttack)

When amendment made U/s. 200A of Income Tax Act which has come into effect on 1.6.2015 is held to be having prospective effect, no computation of fee for the demand or the intimation for the fee under Section 234E could be made for the TDS deducted for the respective assessment year prior to 1.6.2015....

Read More

ITAT on Levy of late fee u/s 234E merely by processing TDS statement

Origins Build-Tech Pvt Ltd Vs ACIT (ITAT Ahmedabad)

Origins Build-Tech Pvt Ltd Vs ACIT (ITAT Ahmedabad) Issue- The learned CIT(A)-8 is unjustified & erred in law by confirming the imposing of late filing levy by ACIT [CPC-TDS) of Rs.30800/- u/s 234E determined to be payable by processing TDS statement u/s 200A, without issuing show cause notice. The late fee u/s 234E is penal in natu...

Read More

Things to be done on receipt of demand notice u/s 234E Late Filing

The default amount will have to be deposited through challan no. 281. Download conso file from TRACES for filing correction and tag the paid challan without adding any deductee records. While filing correction, fill up the fee amount in 'Fee' column in challan detail....

Read More
Posted Under: Income Tax |

Constitutional validity of Section 234F; Writ in Madras High Court

Presently the Madras High Court is seized of an application for Writ, challenging the constitutionality of Section 234F of the Income Tax (IT) Act, 1961, which prescribes a fee for delay in filing IT Returns. ...

Read More
Posted Under: Income Tax |

Don’t Take TDS Lightly

Nowadays delay in payment of TDS and in TDS return Filing makes an assessee liable to Late Payment Interest, Late Payment Penalty, Late Filing Fees, Late Filing Penalty and Further makes him liable to prosecution under the provision of the Income Tax Act, 1961....

Read More
Posted Under: Income Tax |

Section 234E Late Fee cannot be Levied Retrospectively

Shri Rohil Singhal Vs Shri Waseem Arshad (ITAT Agra)

This bunch of appeals for AY 2013-14 are directed against the order of ld. CIT(A), Gwalior against upholding levy of fee u/s 234E of the Income Tax Act, 1961(hereinafter short the Act)....

Read More

Late fees U/s. 234E cannot be levied for the period prior to 01/06/2015

Dharam Deep Public School Vs. Dy. Commissioner of Income Tax (ITAT Delhi)

Dharam Deep Public School Vs. Dy. CIT (ITAT Delhi) Section 200A of the Act deals with processing of statement of tax deducted at source, whereas, section 234E of the Act deals with fee for default in furnishing statements.Iit was held that ‘intimation raising demand prior to 01/06/2015, u/s 200A of the Act, levying fee u/s […]...

Read More

Late Fee U/s. 234E for TDS Default Committed prior to 01/06/15 not leviable: ITAT

Sh. Rajesh Kumar Kukreja Vs. DCIT (TDS) (ITAT Delhi)

The Income Tax Appellate Tribunal in its recent order deleted late Fee levied on ground of TDS default since it is committed prior to 1st June 2015. ...

Read More

Section 234E Late TDS return fees invalid for periods prior to 01.06.2015

Sri. Fatheraj Singhvi And Others Vs. UOI And others (Karnataka High Court)

HC held that since before 01.06.2015 section 234E providing for late fee for delay filling of TDS returns was not linked to / not referred under Sec 200A processing of TDS returns. As a result of this the late fee charge was invalid and illegal....

Read More

SC admits SLP on levy of Late TDS / TCS return Filing Fees U/s. 234E

Rashmikant Kundalia and another Vs Union of India(Supreme Court of India)

Against Bombay High Court order in case of Rashmikant Kundalia and another Vs UOI in Section 234E matter Supreme Court admits the SLP filed with it. ...

Read More

Imposition of late fees by Section 234E is constitutional : Kerala High Court

Sree Narayana Guru Smaraka Sangam Upper Primary School Vs. Union Of India (High Court Of Kerala At Ernakulam)

Article is case study on constitutional validity of Section 234E of the Income Tax Act 1961 inserted by Finance Act, 2012 and covers all earlier judgments on the subject and is based on the Kerala High Court judgment in the case of Sree Narayana Guru Smaraka Sangam Upper Primary School Vs. Union Of India. ...

Read More

Section 234E Fee cannot be levied on TDS deducted prior to 1.6.2015: HC

Sri Fatheraj Singhvi & Ors Vs. Union of India & Ors (Karnataka High Court)

When the amendment made under Section 200A of the Act which has come into effect on 1.6.2015 is held to be having prospective effect, no computation of fee for the demand or the intimation for the fee under Section 234E could be made for the TDS deducted for the respective assessment year prior to 1.6.2015....

Read More

Relief – Fees u/s 234E for late filing of TDS return

Gajanan Constructions, Prop. Gorakhnath Katkar v DCIT, CPC (TDS) [ITAT Pune]

The power to charge fees under the provisions of section 234E of the Act while processing the TDS statements, was dwelled upon by the Legislature by way of insertion of clause (c) to section 200A(1) of the Act by the Finance Act, 2015 w.e.f. 01.06.2015. Accordingly, we hold that where the Assessing Officer has processed the TDS statements...

Read More

Levy of Section 234E late fee- Prior to 01.06.2015- ITAT Cochin decides in favour of assessee

Little Servants of Divine Providence Providence Charitable Trust Vs. Income Tax Officer(TDS) (ITAT Cochin)

Thus, post 1st June 2015, in the course of processing of a TDS statement and issuance of intimation u/s 200A in respect thereof, an adjustment could also be made in respect of the 'fee', if any, shall be computed in accordance with the provisions of section 234E. Prior to 1st June 2015, there was no enabling provision therein for raising ...

Read More

Suggest Situation justifying waiver of Section 234E fee : CBDT

F. No. 275/27/2013-IT (B) (02/08/2016)

The Board is examining the desirability and expediency of prescribing situation/circumstances under which levy of fee under Section 234E may cause genuine hardship to the taxpayers, so as to prescribe guidelines for waiver of such fees by virtue of the powers of the Board under Section 119(2)(a) of the Income-tax Act, 1961....

Read More

Reduce fee u/s. 234E from Rs.200/- per day to Rs.100/- per day

RECOMMENDATION FOR REDUCING THE FEE UNDER SECTION 234E FOR DEFAULT IN FURNISHING STATEMENTS OF TDS AND TCS FROM RS.200/- PER DAY TO RS.100/- PER DAY The levy of mandatory fee u/s. 234E at the rate of Rs.200/- per day for default in furnishing of Statements of TDS u/s. 200(3) and TCS u/s. 206C(3) has been […]...

Read More
Posted Under: Income Tax |

Fees levied under section 234E is constitutional – Rajasthan HC

M/s Dundlod Shikshan Sansthan Vs UOI (Rajasthan High Court)

In this case the constitutional validity of section 234E of the Act was challenged. Hon’ble HC has followed the decision of Hon’ble Bombay HC in the matter of Rashmikant Kundalia and ors. V/s Union of India & ors. (2015) 229 Taxman 596 (Bom) where the Hon’ble court has upheld the validity of Section 234E of the Income Tax Act...

Read More

Fee levied u/s 234E while processing TDS statement is beyond scope of adjustment provided u/s 200A

G. Indhirani Vs DCIT (ITAT Chennai)

G. Indhirani Vs. DCIT (ITAT Chennai) The only issue arises for consideration is with regard to levy of fee under Section 234E of the Income-tax Act, 1961 while processing the statement furnished by the assessees under Section 200A of the Act which was held as unsustainable ...

Read More

Validity of Section 234E Fees of Rs. 200 per day for delay prior to 01st June 2015

In other words, before 01.06.2015, the assessing authority could pass a separate order under Section 234E levying fee for delay in filing the statement under Section 200(3) of the Act. However, after 01.06.2015, the assessing authority is well within his limit to levy fee under Section 234E of the Act even while processing the statement ...

Read More
Posted Under: Income Tax |

234E Fee deleted in the absent of the enabling provisions u/s 200A

Sibia Healthcare Private Limited v./s Dy. Commissioner of Income-tax (TDS)

The Hon'ble Amritsar bench has given a landmark judgement on the issue of 234E Fee levied prior to June,2015 in the case of Sibia Healthcare Private Limited v./s Dy. Commissioner of Income-tax (TDS), in I.T.A. No.90/Asr/2015 and has deleted the addition-...

Read More
Posted Under: Income Tax | ,

Fees u/s 234E held as constitutionally valid, will still missing….

Recently, in the case of Rashmikant Kundalia and another vs Union of India and others, the constitutional validity of the fees being charged u/s 234E for delay in filing TDS returns was upheld by the Court of law, which primarily observed, that fees being charged for delay in filing of returns is in the nature […]...

Read More
Posted Under: Income Tax |

Rationalisation of provisions relating to TDS and TCS

Budget 2015-16 -Rationalisation of provisions relating to Tax Deduction at Source (TDS) and Tax Collection at Source (TCS) Under Chapter XVII-B of the Act, a person is required to deduct tax on certain specified payment at the specified rate if the payment exceeds the specified threshold. The person deducting tax (‘the deductor’) is r...

Read More
Posted Under: Income Tax |

Waive Fee for Late filing of TDS Return if Q4 Return filed in time

Income tax department should waive the fees for late filing TSD return u/s 234E for Q1, Q2 and Q3 if TDS return file within due date of Q4 TDS return because in the writ petition decided by Bombay High court, department has taken the stand that due to not filing of TDS return they are not able to give tax credit to deductee within time li...

Read More
Posted Under: Income Tax |

Action to be taken in case of levy intimated u/s 234E

Section 234E of the Income-tax Act, 1961 inserted by the Finance Act, 2012 provides for levy of a fee of Rs. 200/- for each day’s delay in filing the statement of Tax Deducted at Source (TDS) or Tax Collected at Source (TCS). The provision for Levy of Late filing fee was introduced to improve Filing […]...

Read More
Posted Under: Income Tax |

Sec. 234E Fine For Late Filing Of TDS Returns is constitutionally valid: Bombay HC

Rashmikant Kundalia Vs UOI (Bombay High Court)

Petitioners have challenged the constitutional validity of section 234E of the Income Tax Act, 1961. Section 234E seeks to levy a fee of Rs.200/- per day (subject to certain other conditions as set out therein) inter alia on a person who deducts Tax at Source (TDS) and then fails to deliver or cause to be delivered the TDS return/statemen...

Read More

Income Tax Dept. filing TDS return after due date

Centralizud Processing Cell (TDS) Vs Shri Surender Mehto (Rajasthan High Court)

28,537 TANs of Government deductors filed their quarterly TDS statement late. 97 Deductors of Income Tax Department have files their quarterly TDS statement late during period from 01.07.2012 to 01.03.2014....

Read More

Penalty U/s. 234E fetches revenue of whooping Rs. 17497 crores

In a reply to an application under RTI Act filed by CA Subin V R from Thrissur Income Tax Department has revealed the total amount collected under section 234E of the Income Tax Act in the financial year 2013-14 and from April 2014 to October 2014. As per the reply order dated 22-12-2014 the amount so collected is as under:...

Read More
Posted Under: Income Tax | ,

M.P. High Court Grants Stays recovery of Demand U/s. 234E

Shree Builders Vs UOI (Madhya Pradesh High Court)

In the Case of Shree Builders Vs. UOI, M.P.High Court issued notice to Union of India against validity of section 234E of Income Tax Act,1961 and granted stay of demand. Case was argued by A.P.Shrivastava Advocate accompanied by Advocate Sapan Usrethe....

Read More

Section 234E – Odisha High Court Stays Recovery Proceeding

Partha Sarathi Das Vs UOI & Ors. (Orissa High Court)

Hon'ble Odisha High Court has granted stay on the recovery of Late fee charged Under Section 234E of the Income Tax Act,1961. In Separate cases Hon'ble Bombay, Rajashthan, Kerala and Karnataka High Court has already stayed the Recovery Proceeding U/s. 234E of the Income Tax Act,1961 till the final verdict in the case. ...

Read More

Give Amnesty to TDS deductors from Fees under section 234E – ICAI

a) The matters relating to TDS/TCS in a government department is handled by persons with reasonably good education background. Appropriate computer training is also given by the Government to them for day to day functioning of the system. Accordingly, the records are well maintained and seemingly there should be no issues for them in time...

Read More
Posted Under: Income Tax |

Sec. 234E TDS Fee- Bombay HC Grants Stay On Operation Of Notices

Rashmikant Kundalia and another Vs Union of India and others (Bombay High Court)

Affidavit of service dated 10 April 2014 is filed indicating that Respondent nos.1 and 2 have received the notice on 31 March 2014 and 8 April 2014 respectively. Though served, none appears for Respondent nos.1 and 2. ...

Read More

Simple ways to avoid Defaults in TDS Statements

We can easily avoid Defaults in TDS statements, by way of adherence to the following basic principles: · Timely Payment of total taxes deducted/ collected · Correct Reporting with regard to PANs, Tax Rate and Challans · Complete Reporting for all Deductees · Timely filing of TDS Statements...

Read More
Posted Under: Income Tax | ,

S. 234E: Recovery of fee is subject to outcome of Petition; Govt to reply on S. 234E notices – Rajasthan HC

Om Prakash Dhoot Vs UOI (Rajashthan High Court)

Under Section 234E wef 1st of July 2012 deductor will be liable to pay by way of fee of Rs 200 per day till the failure to file TDS statement continues, However, the total fee cannot exceed the amount of TDS deductible for which statement was required to be filed. ...

Read More

Government Deductors to File return before 31.03.14 to avoid late Fees U/s. 234E

Central Board of Direct Taxes has issued a detailed circular in the context of Late Fee, Levied under Section 234E of the Income Tax Act, 1961 vide Circular 07 of 2014 dated March 04, 2014 . The circular provides for ex-post facto extension of the due dates of filing TDS/ TCS Statements, prescribed under section 200(3)/ proviso to section...

Read More
Posted Under: Income Tax |

CBDT extends due of TDS/TCS statement for Govt. deductees – No Refund of Fees Paid U/s. 234E

Circular No. 07/2014 - Income Tax (04/03/2014)

CBDT Circular No. 07/2014 All Chief Commissioners of Income-tax All Directors General of Income-tax Sub: Ex-post facto extension of due date for filing TDS/TCS statements for FYs 2012-13 and 2013-14 – regarding The Central Board of Direct Taxes ('the Board') has received several petitions from deductors/collectors, being an offic...

Read More

Karnataka HC stayed enforcement of notices U/s. 234E by TRACES

Adithya Bizorp Solutions India Pvt. Ltd Vs Union of India (Karnataka High Court at Bangalore)

After Kerala HC Karnataka HC too stay the enforcement of notices U/s. 234E by TRACES. In this case Petitioners have questioned the constitutional validity of the provision of Section 234E of the income Tax Act and a notice to the petitioner levying fee vide annexure A1 to A21 and Annexure - B....

Read More

Quote correct BIN while filing TDS/TCS statement

It is mandatory for Government deductors, who are reporting TDS without payment through bank challans, to quote correct Book Identification Number (BIN), while filing TDS/TCS statement. In case correct BIN is not quoted in the respective TDS statement, a Short Payment demand shall be raised by CPC(TDS)....

Read More
Posted Under: Income Tax |

Reminder for filing of TDS Statements within Due Date

As per the records of Centralized Processing Cell (TDS), the Original TDS Statement(s) for Quarter 2 of FY 2013-14 (July – September, 2013) has not been submitted within the prescribed due date by many of the deductors. Please note that late filing of TDS Statements not only delays TDS Credits to the deductees, but Also […]...

Read More
Posted Under: Income Tax |

Consequance for Non – Filing of TDS Statements

For Tax payers: Non/ Late filing of TDS statements results into the TDS Credit not being available to the deductees (employees / vendors) for claiming the amount of tax already deducted from the payments made to them besides generating correct TDS Certificates for them....

Read More
Posted Under: Income Tax | ,

CBDT advises AOs to file Form 24G with in the prescribed time

As you are aware, it is mandatory for AOs to file Form No. 24G on monthly basis with in the prescribed time. Based on the particulars reported in Form No. 24G, Book Identification Number (BIN) is generated and intimated to the respective AOs by TIN Central System. AOs can download BIN from TIN Portal. AOs […]...

Read More
Posted Under: Income Tax | ,

Verify contents of TDS Certificates before issue

Report correctly the PAN and TDS amount in the Statement, which helps the taxpayer in claiming correct TDS Credits besides generating correct TDS Certificates. Verify the contents of TDS Certificates as downloaded from TRACES before issuing the same to the taxpayers...

Read More
Posted Under: Income Tax | ,

HC stays Late Filing Fees U/s. 234E for late filing of TDS return

Narath Mapila LP School Vs UOI (Kerala High Court)

The constitutional validity of Section 234E of the Income Tax Act, 1961 has been challenged in the Kerala High Court in the case of Narath Mapila LP School vs. UOI WP (C) No. 31498/2013(J). Vide an interim order dated 18.12.2013, the High Court has admitted the Petition and granted a stay of proceedings for a period of two months....

Read More

Fee for default in furnishing TDS / TCS statement

Sometime back a number of instances have been brought to my notice by some clients, which relate to the levy of fee for late filing of TDS / TCS statement. On examination of the provisions of the Income-Tax Act, 1961 (the Act), it was realized that the impugned fee has been levied under section 234E of the Act, which is rather an obscure...

Read More
Posted Under: Income Tax |

Tax audit & ROI due date extended to 31.10.2013 for A.Y. 2013-14

Order under Section 119 - F. No. 225/117/ 2013/ ITA.II (24/10/2013)

In exercise of powers conferred under section 119 of the Income tax Act, 1961, the Central Board of direct Taxes, in continuation to order u/s 119 dated 26.09.2013 in F. No. 225/117/2013/ITA.II, hereby directs that in cases where the ‘due date’ of furnishing reports of audit and corresponding income-tax returns was 30th September, 201...

Read More

HC issued guidelines to end TDS credit & refund adjustment harassment of Assessee by CPU

Court On Its Own Motion Vs Commissioner of Income Tax (Delhi High Court)

In this case high Court has issued guideline to Income Tax Department in respect of the following :- Uploading Of Wrong Or Fictitious Demand Adjustment Of Refund Contrary To The Mandate Of Section 245 Of The Income Tax Act Denial Of Interest Where Assessee Not At Fault Credit Of Tax Deducted At Source (TDS) Non-...

Read More

How to Calculate TDS on Salary – AY 2013-14 / FY 2012-13

Circular No. 8/2012-Income Tax (05/10/2012)

Circular no. 8/2012-Income Tax The present Circular contains the rates of deduction of income-tax from the payment of income chargeable under the head Salaries during the financial year 2012-13 and explains certain related provisions of the Income-tax Act, 1961 (hereinafter the Act) and Income-tax Rules, 1962 (hereinafter the Rules). The...

Read More

Amendment in TDS provisions – Budget 2012-13

Section 193 of the Act- Tax deduction at source from payment of interest on debentures, Section 194E of the Act - Tax deduction at source from payment to non-resident entertainer, sports person etc., Section 194J of the Act - Tax deduction at source from payment to director, Section 194J of the Act - Tax deduction at source from payment t...

Read More
Posted Under: Income Tax | ,

Incomplete TDS certificates issued by deductor delaying Income tax refunds

Many Taxpayers had a tough time getting a refund of the tax deducted against his fixed deposits with public sector banks, as the tax deduction at source (TDS) certificates issued to them by the banks did not mention there permanent account number (PAN). Depositors of banks and post offices — especially pensioners — are put to a lot o...

Read More
Posted Under: Income Tax |

Browse All Categories

CA, CS, CMA (5,054)
Company Law (6,720)
Custom Duty (8,088)
DGFT (4,389)
Excise Duty (4,412)
Fema / RBI (4,453)
Finance (4,699)
Income Tax (35,143)
SEBI (3,759)
Service Tax (3,628)

Search Posts by Date

December 2020
M T W T F S S
 123456
78910111213
14151617181920
21222324252627
28293031