TDS Return Filing Guide: Forms, Deadlines & Penalties

Tax Deducted at Source (TDS) is one of the government's primary mechanisms for tax collection. Every business that makes payments above specified thresholds must deduct TDS, deposit it with the government, and file quarterly returns. Here's everything your firm needs to know.

TDS Return Forms

Form 24Q covers TDS on salary payments. Form 26Q handles TDS on all non-salary payments to residents. Form 27Q is for TDS on payments to non-residents. Form 27EQ covers Tax Collected at Source (TCS). Each form must be filed quarterly, within one month of the quarter end — except Q4, which has a May 31 deadline.

Quarterly Deadlines

Q1 (April-June) returns are due by July 31. Q2 (July-September) by October 31. Q3 (October-December) by January 31. Q4 (January-March) by May 31. TDS must be deposited by the 7th of the following month, except for March where the deadline is April 30.

Penalties for Non-Compliance

Late filing of TDS returns attracts a fee of ₹200/day under Section 234E, capped at the total TDS amount. Non-deduction leads to disallowance of the expense (30% of the payment amount). Late deposit of TDS incurs interest at 1.5% per month from the date of deduction to the date of deposit.

TDS Tracking in KaryiQ Practice

KaryiQ Practice's TDS module tracks deductions, deposits, and return filings for every client. With automated quarterly reminders, challan tracking, and TRACES integration support, firms can manage TDS compliance for hundreds of clients without missing a single deadline.