TDS Quarterly Returns

How should I file TDS TAN Quarterly Returns

How Should I File TDS/TAN Quarterly Returns?

TDS, which stands for Tax Deducted at Source, refers to the amount an employer deducts from their employees' salaries. Individuals must complete specific forms to maintain their income tax payments and deductions accurately.

Filing TDS returns is compulsory under India's prevailing provisions of the Income Tax Act. When Tax is deducted at source for certain payment types, the individual responsible for deducting the taxes must file returns quarterly by submitting TDS quarterly returns. These statements contain crucial details such as payment type, PAN (Permanent Account Number), TAN (Tax Deduction Account Number), deduction amount, and more. The following section outlines the various steps involved in the TDS quarterly return online filing process.

What Is TAN Under TDS?

The TAN (Tax Deduction and Collection Account Number) is a unique ten-digit alphanumeric code that individuals responsible for deducting or collecting taxes must obtain. It is a mandatory requirement for all TDS returns to include the TAN, as designated by the Income Tax Department under Section 203A of the Income Tax Act of 1961 (ITA).

In recent years, the Income Tax Department (ITD) has updated the structure of the TAN, making it a 10-digit alphanumeric code. This new format ensures uniqueness, and as a result, all existing TAN holders have received TANs in this revised format.

Step By Step Guide to File TDS/TAN Quarterly Returns

The step-by-step process to file TDS quarterly return online is mentioned below:

  • Begin by completing Form 27A, which contains multiple columns. If a hard copy is used, it should be verified in conjunction with the electronically filed e-TDS return.
  • Ensure the accurate filling of the Tax deducted at source and the total amount paid, tallying them in their respective forms.
  • Mention the TAN of the organization filing the TDS quarterly return on Form 27A, as an incorrect TAN can complicate the verification process.
  • Provide the appropriate challan number, mode of payment, and tax details on the TDS returns. Incorrect details in payment dates or challan numbers can lead to discrepancies, necessitating the refiling of TDS quarterly returns.
  • Utilize the standard form for filing e-TDS to maintain consistency. Enter the 7-digit BSR (Basic Statistical Return) to facilitate easy tallying.
  • If submitting physical TDS returns, deliver them to the TIN-FC (Tax Information Network - Facilitation Center) managed by NSDL. Online TDS quarterly return filing can be done through the official NSDL TIN website, requiring a level 2 digital signature from the deductor.
  • Upon providing all correct information, receive a token number or provisional receipt confirming the filing of TDS quarterly return. If the TDS Returns are rejected, a non-acceptance memo specifying the reasons for rejection is issued, prompting the need for refiling the TDS quarters Returns.

Benefits of TDS Return Filing

An individual's earnings influence Tax Deducted at Source (TDS). Both the Government and taxpayers benefit from TDS return filing. When individuals make payments via cheque, cash, or credit card, a certain amount of Tax is deducted, which is then deposited with the Income Tax Department.

The advantages of TDS return filing before the last date of quarterly TDS return are as follows:

  • Filing TDS returns helps government organisations stop people or organisations from evading taxes. The Government can spot instances where the deadline has been missed and apply fines by keeping track of TDS files.
  • The Government of India receives regular money through TDS returns since taxpayers who fall under the required income slabs submit them monthly. This makes it possible for the Government to track and record frequent TDS filers efficiently.
  • The Government's ability to collect taxes is increased when you file quarterly TDS returns online. Since the employer files TDS and issues a certificate to the employee whose TDS has been submitted, the likelihood of tax evasion reduces, increasing the number of taxpayers in the nation.
  • Tax-collecting organizations must ensure that every eligible person in the taxpaying bracket pays their taxes. Since Tax is deducted at the time of payment, completing a TDS return streamlines this procedure for tax authorities and deductors.
  • The approach is easier and more effective for the deductee since the deductor files the TDS return on the deductee's income, removing the requirement for the deductee to submit taxes separately to avoid TDS quarterly return late filing penalty.

What Are the Main Objectives of Income Tax Deduction at Source (TDS)?

The amount of TDS deduction depends on the earnings we receive. Income Tax Deduction has shown to be beneficial for both individuals and the Indian Government. The following are the main goals of filing the TDS:

1. TDS Prevents Tax Evasion

One particular challenge that the Indian Government faces is tax avoidance. Tax Deduction is crucial in combating tax evasion while overseeing the taxes submitted by the nation's citizens to tackle this problem. In order to provide a fair and consistent approach to tax payments without any inconsistencies or evasions, this method promotes openness between the citizens and the Government who comply with their tax duties.

2. TDS Becomes a Stable Income for the Indian Government

The Government of India counts tax deduction at the source as a dependable and crucial source of income. This source of income enables the Government to carry out crucial duties, such as the provision of essentials like electricity and water supply, the upkeep of order and law, the payment of government employee salaries, and advancements in science and technology, among other significant projects.

3. The TDS Gets Deducted Automatically

Tax filing and payment can occasionally be difficult processes. The Tax Deducted at the Source is deducted automatically, making it simpler and easier for taxpayers; however, with the help of TDS, the quarterly TDS return filing procedure is smoother and more streamlined.

4. Eliminates Tax Collector's Burden

Tax that is automatically deducted at the source alleviates the burden on the tax collectors. Therefore, taxpayers are spared from constantly checking and confirming the deductions.


You may apply for one on the official website if you don't already have a TAN number. Check the challan information and the data you always entered throughout the filing procedure twice. The process may be made simpler by creating an Excel file with the identical data as the challan and pasting it straight into the necessary areas. There is no need for additional software to file TDS quarterly returns online.

TDS return filing can be challenging, requiring careful attention and thorough procedure comprehension. Inaccurate estimates might lead to financial losses because the Government only pays back TDS if your income is below a certain threshold. It is essential to submit precisely to maintain compliance and prevent any financial repercussions. Finally, it would be best to consider visiting us at Manoj Kumar D & Associates For hassle-free TDS return filing. Their professionals are highly skilled at helping you manage TDS return quarterly effectively.

Frequently Asked Questions

Are TDS returns filed quarterly?

As per Section 192 of the Income Tax Act 1961, when an employer disburses Salary to an employee, they are required to deduct TDS (Tax Deducted at Source). The employer must then file the Salary TDS returns using Form 24Q, which is to be submitted on a quarterly basis.

How can I get TDS quarterly return?

To get the TDS (Tax Deducted at Source) quarterly return, follow these steps:

  • Register on the e-filing of the quarterly TDS return portal
  • Login to the e-filing portal
  • Go to the 'e-file' section
  • Select income tax forms
  • Choose the relevant assessment year
  • Select the applicable form, fill in the details, and validate it
  • Submit the form and download the acknowledgment form

What are the forms 24Q and 26Q?

Form 24Q will be filed and submitted to report the Tax Deducted at Source on salary payments. In contrast, Form 26Q is to be filed and furnished for providing details of Tax Deducted at Source on domestic payments other than Salary.

What is Form 27A of TDS?

Form 27A serves as a condensed summary of the e-TDS/TCS returns. It includes control totals for 'Amount Paid,' 'Income tax deducted at source,' and 'Tax Deposited.'Ensuring that these details mentioned in Form 27A match the equivalent control totals in the e-TDS return file is crucial.

What is 27Q and 27EQ?

Form 27Q is a quarterly statement reflecting the tax deduction under Section 200(3) of the Income Tax Act concerning payments made to non-residents and foreigners, excluding salaries, for the quarter ended.

On the other hand, if a seller collects Tax from the buyer and subsequently remits it to the Government, they are obligated to file Form 27EQ on a quarterly basis. This requirement arises under Section 206C of the Income Tax Act.