Saturday, June 7, 2014

e-TDS :- Solution of Problem of Notice issued by Income Tax Department.

Friends,   Income Tax Department has issued demand notices to deductors of different types.   Nature of all notices are not same.  In the other words, Notices issued by Income Tax Department are correct but  some deductors have filed their TDS/TCS return with some  errors.  To clarify the error in detail, Justification Report at TRACES has also been provided.  Even then, sometime deductor could not understand reason of default through Justification Report. Out of many reasons, solution for one problem of deductor is given below :-

Question :- 
Dedcutor has received a notice of default from TDS relating to salary (24Q) quarter 4 . It is showing non payment / short payment of TDS from the employee.Where as TDS is deposited in time  and filled correctly in all the four quarters 1 to 4, also Form 16 generated by TRACES is showing the TDS amount in each of the employee correctly. Deductor is  confused as when Form 16 is showing correct credits, conso file also shows the credits then how come the default is shown for total amount of TDS not deposited in  all the 4 quarters.

Answer :- After study the case in detail with the help of conso. file and justification report.   It has been  traced that Total Amt of TDS by current employer for whole year in conso file  is lying  Blank and surprise that Shortfall in Tax Deductions (+) / Excess Tax Deductions (-)  amount is showing correctly.   Picture view of error marked in circle  is also given below :-

Finally, through submission of correction return is problem solution to remove the demand notice  issued by Income Tax Department. 

Note :- Deductors who have taken benefit of this content should add their comments at the end of this content. 

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