COMPARISION OF NEW TDS PROVISION APPLICABLE FROM 01.04.2009 WITH EXISTING PROVISIONS
SR NO RULE REMARKS
1 Rule 30: Time & Mode of Payment of TDS · Rule now is worded more simply .No
substantive change and present position of
next 7 days from the end of the month ,2
months if amounts are deducted on the last
day of accounting year end , are retained . In
respect of Govt. deductor , the Rule is
relaxed and is made in line with above in the
place of depositing tax on the same day of
· AO power for relaxation in above
requirement are also retained.
· Payment of TDS will be made
electronically by Challan in Form No . 17
· It is provided that payment by
electronically will be Internet banking
facility provided by RBI / SBI / authorized
bank or payment by Debit / Credit Card.
2 What is Form No 17? Form No 17 is challan for the payment of TDS
in place of existing Challan No 281. It has all
required details as per existing Form No 281
and additionally as under.
1) PAN & Name of Deductee and individual
amount per deductee
2) It seems that Unique Transaction
Number (UTS) for above will be created
3) It may so happen that challan may run
in to several page when there are many
3 Rule 31: Furnishing of Certificate of TDS: 1) Within 7 days from the date on which
TDS is paid ( i.e. normally after 7 day of end of
2 months in case of accounting year end )
2) Within one month from the end of FY in
the case of salary /Insurance Commission /
more than one certificate in FY and Deductee
has requested to issue a consolidated
3) Within 14 days when payments are
allowed by AO on quarterly basis
4) In all other cases , within One Month
from the end of month in which Deduction is
4 Rule 31 A: Quaterly Statement of TDS: 1) Quarterly Form No 24Q, 26Q, 27Q,
27EQ will now be submitted only one in a
year - by 15 June , instead of present
requirement of filing at the end of each QTR.
2) Form 24C –New – known as TDS and
TCS Compliance Statement is to be filed on 15
July / 15 oct/15 January / 15 June
respectively for Q1 / Q2/ Q3 /Q4 is to be
3) This Form contains details in respect
of all TDS/ TCS for the Quarter along-with
amount paid /provided from which TDS
made , name , UTS etc .
Apr 01, 2009
CBDT brings out new TDS norms for greater transparency
New Delhi: In an effort to bring greater transparency and accountability in income tax deduction, the Central Board of Direct Taxes has notified new guidelines and the forms for tax deduction and tax collection at source.
Now, TDS certificates – Form 16 and From 16 A will have to be furnished to the deductee or the employee within one week or latest within one month from the end of the financial year in which in which the payment is made by the employer. At present, it often takes about two to three months for the certificates to reach the deductee.
The CBDT has also replaced Form 16, Form 16A and Form 16AA with Form 17, as a certificate of tax deduction and tax collection at source. But on Tuesday the CBDT clarified that “the new Form 17 is applicable only for payment of tax deducted or collected at source on or after April 1, 2009. Any TDS or TCS made before April 1, 2009, the payment will continue to be made to the credit of the Central Government by using the existing challan in Form No. 281 even is it is done after March 31, 2009.”
While the employee can get a duplicate Form 16 or 16 A from the employer in case it is lost, he will have to provide an indemnity bond or a certificate of payment from the tax department when the assessing officer gives credit for the TDS on the basis of the duplicate From 16 or 16A.
As per the new norms, the tax deducted at source would also have to be deposited with the department within one week from the end of the month in which it is deducted or is due.
“The person responsible for collecting the tax will have to deposit it with the Central government within one week from the end of the month when it is collected,” the CBDT circular states. He will also have to electronically furnish an income tax challan in Form No 17.
A detailed circular on the amended rules relating to TDS and TCS is also expected soon.
• Now, TDS certificates—Form 16 and From 16 A will have to be furnished to the deductee within one week or latest within one month from the end of the financial year
•The CBDT has also replaced Form 16, Form 16A and Form 16AA with Form 17, as. a certificate of tax deduction and tax collection at source
• As per the new norms, the tax deducted at source will also have to be deposited with the department within one week from the end of the month in which it is deducted or is due ...