TDS on Salaries - Income Tax Department

(a) Submit a statement in form 24G within ten day from
the end of the month, in respect of the tax deducted
and reported to him for that month. This statement is
to be furnished to an agency authorized by DGIT
(Systems).
(b) Such agency will generate a number called Book
Identification Number in respect of tax deducted and
credited. This number is to be intimated to the
respective deductors by the PAO/DDO/Treasury
officers.
2. For the aforesaid purpose the responsibility of specifying
the procedures format, and standard for ensuring secure
capture and a transmission of data and for day to day
administration will be of DGIT(Systems).
3. Where tax has been deposited accompanied by an Incometax
challan the amount tax of deducted or collected shall
be deposited to the credit of the Central Government by
remitting it within the time specified in above(Rule 30).
2.6.4 Electronic payment of taxes
An optional scheme of electronic payment of taxes for income-tax
was introduced in 2004. However, with a view to expand the scope
of electronic payment of taxes, the scheme of electronic payment
of taxes has been made mandatory (vide notification No. 34/2008
dt. 13.3.2008 of CBDT) for the following categories of taxpayers(referred
in rule 125(1)).
(i) All corporate assesses;
(ii) All assesses(other than company) to whom provisions of
section 44AB of the Income Tax Act are applicable.
2. The scheme of mandatory electronic payment of taxes for
income-tax payers has been made applicable from 1 st April, 2008
and is also applicable to payment of taxes to Government account
where tax has been deducted at source.
3. The Income-tax(6 th Amendment) Rules 2010
(Notification dt. 31/5/2010) provides that for category of
assesses as mentioned above who are compulsorily to make
electronic payment of <strong>TDS</strong>; such payment is to be remitted into
R.B.I., S.B.I. or any authorized bank accompanied by an
electronic Income-tax challan. The electronic remittance can
be made :
(a)
(B)
By internet banking facility of RBI, SBI or the
authorized Bank.
By Debit Card.
However, for payments deducted prior to 1/4/2010 the
provisions of rule prior to this amendment will apply.
2.7 Issue of T.D.S. Certificate
2.7.1 Every person deducting tax at source is required as per Section
203 to furnish a certificate to the payee to the effect that tax has
been deducted along with certain other particulars. This certificate
is usually called the <strong>TDS</strong> certificate. Even the banks deducting tax
at the time of payment of pension are required to issue such
certificates. In case of employees receiving salary income including
pension, the certificate has to be issued in Form No.16. The
certificate is to be issued in the deductor’s own stationery. However,
there is no obligation to issue <strong>TDS</strong> certificate in case of tax at
source is not deducted /deductible by virtue of claims of exemptions/
deductions.
• Vide Income-tax(6 th Amendment) Rules 2010, a new Form
No. 16 has been notified which will be applicable for tax
deductions after 1/4/2010(refer Annexure-1 of this book
for new form).
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