Friday, October 10, 2014

e-TDS / e-TCS : -Non reporting of 15G / 15H transaction in contravention of rule 31A (4) of Income Tax Rules read with section 200 of Income Tax Act

CPC (TDS) Team has traced that bank is not reporting proper transactions related to  15G or 15H.   Even than Flag "B" is also required for these transaction.  Keeping in view these things TDS (CPC) teams has instructed to bankers to submit correct data with appropriate Flag etc. 

To know more regarding Value of Flags (Click Here)

(Bank Name)

Dear Sir/ Madam,

Please refer the subject mentioned above.

1) In this regard, it is to inform you that ________ branches out of ________ active branches of your bank have not reported transaction of payment of interest on which tax was not deducted in view of declaration of 15G or 15H form by the payee. We are also sending a separate communication to the non-compliant branches, attached in the list.

2) __________ branches have in all reported __________ transactions involving declaration of 15G or 15H. The amount involved in such transactions is to the tune of Rs. _______ Crore for F.Y. 2013-14. Form 15G/15H can be submitted by the payee only if the income including the interest income is less than the taxable amount.

3) You are requested to reconcile the amount of Rs. ______ Crore reported by your bank branches with the interest amount paid to payees who declared 15G or 15H as per core banking solution of your bank. In case of discrepancy, it is requested that the relevant branches may be instructed on top priority to comply to the provisions of Income tax act in respect of complete & correct reporting of transactions involving 15G or 15H declaration.

Since the due date of filing Q2 2014 TDS Statements (October 15) is approaching fast, you are requested to ensure the details of 15G/H transactions from your source data and raise Flag "B" in the Original TDS Statements. Also, please ensure submission of Correction Statements for previous Quarterly TDS Statements of the branches.

CPC (TDS) is committed to provide best possible services to you.


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