Understanding Form 24Q, 26Q and 27Q for TDS Returns against Tax deducted at Source

Tax Deducted at Source, or TDS as it called in short, is considered as a kind of advance tax. The legislature gets a specific tax sum as and when the exchange is made. TDS incorporates the amount which is deducted by the payer and paid to the government. The individual needs to file TDS return in form 24Q, 26Q, 27Q as the case may be after making the payment of TDS where he or she needs to specify the PAN of the payee.

For filing TDS return TAN is required. Regularly, every organization, associations firms, LLP and individuals who get scope under the Tax Audit in the earlier year have the obligation to deduct the TDS from payments made under certain specified heads.  For such assertion of payment, certain forms must be filled in by individuals for TDS.

Understanding Form 24Q, 26Q and 27Q
Understanding Form 24Q, 26Q and 27Q

Form 24Q for Preparing eTDS Return for TDS deducted on Salary

Form 24Q for TDS deducted on salary (under section 192) is required to be submitted on a quarterly interval by the deductor. Form 24Q has information of salary paid and TDS deducted from employees/workers.

Form 24Q is a form for preparing eTDS returns for TDS deducted on salary under Section 192. Form 24Q is required to be submitted on a quarterly interval by the deductor. This form contains detail elements of the salary paid and TDS deducted from the employees/workers.

Form 24Q has two annexures–Annexure I and Annexure II. Annexure I contains insights about the deductor, challans and deductees. There are no salary detail elements in Annexure I. However, Annexure II contains the details of the salary elements.

Annexure I must be recorded and submitted for every one of the four quarter of a financial year. Annexure II is not required to be submitted in the 1st three-quarters. Annexure II must be submitted just for the final quarter of each financial year with the salary details of all employees/workers for the whole financial year.

Form 26Q

Form 26Q is required to be submitted for TDS details on all payments other than salary on a quarterly basis by the deductor.

Form 26Q is applicable for TDS deducted under section 200(3) of the Income Tax Act for TDS under sections 193, 194, 194A, 194B, 194BB, 194C, 194D, 194EE, 194F, 194G, 194H, 194I and 194J.

Form 27Q:

  • This form must be filled up for revelation of TDS returns in detail by NRIs and foreigners
  • This form depends on the payments/charges/fees of non-natives and NRIs other than salary.
  • It is mandatory for non-Government deductors to specify the PAN in the form.
  • For Government deductors, “PANNOTREQD” must be specified.
  • The deductor classification should be shown in view of the Annexure 1.
  • On the off chance that the deductors are Central Government, the Ministry/Department must be specified. The same goes for the State Government.
  • It is mandatory to fill in the entire sum column. On the off chance that a sum is not material, 0.00 must be specified.
  • This is a quarterly tax conclusion statement under the sub-section (3), Section 200 of the Income tax Act, 1961.