File Validation Utility version 4.1 and 2.13 7 for e-TDS/TCS Statements wef 04.01.2014

Circular No: NSDL/TIN/2014/001 January 1, 2014

Subject: Release of File Validation Utility (FVU) version 4.1 and 2.13 7 for e-TDS/TCS Statements.

All TIN Facilitation Centers (TIN-FCs) are hereby informed that the following new versions of File Validation Utility (FVU) are being released.

1. FVU version 4.1 – For Statements pertaining to FY 2010-11 onwards.

2. FVU version 2.137 – For Statements pertaining to FY 2007-08 to FY 2009-10.

These two FVU versions are applicable with effect from January 4, 2014. Statements validated with FVU version lower than 4.1 and 2.13 7 will be rejected at TIN Central System from January 4, 2014.

The features of FVU version 4.1 and 2.13 7 are as below:

1. Deletion of deductee record: Feature to delete the deductee record has been discontinued. In case the user wishes to nullify a deductee record/transaction, he is required to update the amount and related fields to "0" (zero) and add new record with updated values.

2. Date of deduction: Date of deduction in deductee record should not be that of previous quarter. Example: If the statement pertains to Q3 of FY 2013-14, then the date of deduction for deductee record should not be lower than October 1, 2013.

3. Generation of Form 27A: Feature has been enabled wherein Form 27A is generated in PDF format on successful validation of e-TDS/TCS statement from File Validation Utility (FVU).

The said FVU versions will be available in online SAM application.

In case of any clarifications, contact TIN Support Desk on 022-24994201

 

 

 

http://taxguru.in/income-tax/nsdl-releases-file-validation-utility-fvu-version-41-213-7-etdstcs-statements.html

TDS Credit Must Be Given Even Without Certificate/ Form 26AS Entry: ITAT Mumbai

Dear Subscriber,

 

The following important judgement is available for download at itatonline.org.

Citicorp Finance (India) Ltd vs. ACIT (ITAT Mumbai)

TDS Credit must be given even if TDS Certificate is not available/ entry is not shown in Form 26AS

The assessee claimed credit for TDS which was denied by the AO on the ground that the claim did not match the entries shown in Form No. 26AS and that there was a discrepancy. On appeal, the CIT(A) held that the assessee would be entitiled to credit to the extent shown in the computer system of the department. On further appeal by the assessee to the Tribunal HELD:

The AO is not justified in denying credit for TDS on the ground that the TDS is not reflected in the computer generated Form 26AS. In Yashpal Sahwney 293 ITR 539 the Bombay High Court has noted the difficulty faced by taxpayers in the matter of credit of TDS and held that even if the deductor had not issued a TDS certificate, still the claim of the assessee has to be considered on the basis of the evidence produced for deduction of tax at source. The Revenue is empowered to recover tax from the person responsible if he had not deducted tax at source or after deducting failed to deposit with Central Government. The Delhi High Court has in Court On Its Own Motion Vs. CIT 352 ITR 273 directed the department to ensure that credit is given to the assessee even where the deductor had failed to upload the correct details in Form 26AS on the basis of evidence produced before the department. Therefore, the department is required to give credit for TDS once valid TDS certificate had been produced or even where the deductor had not issued TDS certificates on the basis of evidence produced by assessee regarding deduction of tax at source and on the basis of indemnity bond.

Note: See also 3i Infotech Limited (file attached) where it was held "merely because the Department's system does not indicate the TDS refund, it cannot be held that the assessee should be compelled to deposit the amount once again. It is for the Department to check the error in its system or point out fallacy in the assessee's claim. There can be no question of penalizing the assessee for no fault committed by it".

(Click Here To Read More)

 

Regards,

 

Editor,

 

itatonline.org

---------------------

Latest:

CBDT Order On Appointment Of IRS Officers As Joint Commissioners

TIN With effect from May 4, 2013, revised rates for acceptance of e-TDS/TCS, Form 24G Statements and AIR at TIN Facilitation Centres (TIN-FCs) are as under:

http://taxguru.in/income-tax/tin-revises-rates-etdstcs-air-form-24g-returns.html?utm_source=feedly

TIN With effect from May 4, 2013, revised rates for acceptance of e-TDS/TCS, Form 24G Statements and AIR at TIN Facilitation Centres (TIN-FCs) are as under:

Basis of charges	Charges*
0 – 100 records	35.00
100 – 1000 records	200.00
More than 1000 records	650.00

*Inclusive of service tax

TDS RATE CHART FINANCIAL YEAR 2013-14

TDS RATE CHART FINANCIAL YEAR 2013-14 (ASSESSMENT YEAR 14-15)

 

TAXBYMANISH

The Rate Chart for the Financial Year 2013-14 i.e. Assessment Year 2014-15 is tabulated below.

Sl. No.	Section Of Act	Nature of Payment in brief	Cut Off Amount		Rate %
					HUF/IND	Others
1	192	Salaries			Average Rate
2	193	Interest on debentures		5000	10	10
3	194	Deemed dividend		-	10	10
4	194A	Interest other than Int on securities (by Bank)		10000	10	10
4A	194A	Interest other than Int. on securities (By others)		5000	10	10
5	194B	Lottery / Cross Word Puzzle		10000	30	30
6	194BB	Winnings from Horse Race		5000	30	30
7	194C(1)	Contracts		30000	1	2
8	194C(2)	Sub-contracts/ Advertisements		30000	1	2
9	194D	Insurance Commission		20000	10	10
10	194EE	Paymentsout of deposits under NSS		2500	20	-
11	194F	Repurchase of units by MF/UTI		1000	20	20
12	194G	Commission on sale of lottery tickets		1000	10	10
13	194H	Commission or Brokerage		5000	10	10
14	194I	Rent (Land & building)		180000	10	10
		Rent (P & M , Equipment, furniture & fittings)		180000	2	2
15	194J	Professional/Technical charges/Royalty & Non-compete fees		30000	10	10
16	194J(1)(ba)	Any remuneration or commission paid to director of the company(Effective from 1 July 2012)		NIL	10	10
17	194LA	Compensation on acquisition of immovable property		200000	10	10
18	194IA	Payment on transfer of certain immovable property other than agricultural land(applicable only if amount exceeds : (a) Value exceeds INR 50) (Effective from 1 June 2013)			1	1

 

 

TCS RATES FOR THE FY 2013-14

The Tax Collection at Source Rates for the Financial Year 2013-13 is tabulated below:

 

Sl.No.	Nature of Goods	Rates in %
1.	Alcoholic liquor for human Consumption		1
2.	Tendu leaves		5
3.	Timber obtained under forest lease		2.5
4.	Timber obtained by any mode other than a forest lease		2.5
5.	Any other forest produce not being timber or tendu leaves		2.5
6.	Scrap		1
7.	Parking lot		2
8.	Toll plaza		2
9.	Mining & Quarrying		2
10	Minerals, being coal or lignite or iron ore		1
11	Bullion or jewellery (if the sale consideration is paid in cash exceeding INR 2 lakhs)		1

 

No Education Cess on payment made to resident-Education Cess is not deductible/collectible at source in case of resident Individual/HUF /Firm/ AOP/ BOI/ Domestic Company in respect of payment of income other than salary. 
Education Cess @ 2% plus secondary & Higher Education Cess @ 1% is deductible at source in case of non-residents and foreign company.

Surcharge on Income-tax - Surcharge on Income-tax is not deductible/collectible at source in case of individual/ HUF /Firm/ AOP / BOI/Domestic Company in respect of payment of income other than salary.

Due date for furnishing TDS return for the last quarter of the financial year has been modified to 15^th May (from earlier 15^th June). The revised due dates for furnishing TDS return are

 

Sl. No.	Date of ending of the quarter of the financial year	Due date
1.	30th June	15th July of the financial year
2.	30th September	15th October of the financial year
3.	31st December	15th January of the financial year
4.	31st March	15th May of the financial year immediately following the financial year in which deduction is made

 

Due date for furnishing TDS certificate to the employee or deductee or payee is revised as under :

 

Sl. No.	Category	Periodicity of furnishing TDS certificate	Due date
1.	Salary (Form No.16)	Annual	By 31st day of May of the financial year immediately following the financial year in which the income was paid and tax deducted
2.	Non-Salary(Form No.16A)	Quarterly	Within fifteen days from the due date for furnishing the 'statement of TDS'

 

Due Date for Payment of March 2013 -The time limit for deposit of TDS for the entire month of March is rationalized to 30 April instead of two separate time limits viz. 7 April for TDS up to 30 March and 31 May for TDS as of 31 March.

Regards,
-------
CA.C.V.PAWAR
PATIL DAWARE GIRASE PAWAR & ASSOCIATES

CHARTERED ACCOUNTANTS

0253-2319641. M-9423961209

INDIAN CA - NURTURED IN INDIA, GROOMED FOR THE WORLD

For latest Updates visit Blogspot : http://canews1.blogspot.in

http://www.facebook.com/cvpawar
 

New Form 26B to claim excess TDS deposited by Deductor

New Form 26B to claim excess TDS deposited by Deductor

Income-tax Rules regarding refund of excess deposit of TDS by deductor has been amended in notification 11/2013 dated 19/02/2013. In this notification deductor can claim refund of excess TDS by filing the return electronically on New Form 26B with digital signature only .New rule 31A(3A) has been inserted under rule 31A. Further Director General of Income Tax Systems has been authorised to set the procedure to claim the refund. New form 26B is provided here under for download.

"Rule 31 A(3A) A claim for refund, for sum paid to the credit of the Central Government under Chapter XVII-B, shall be furnished by the deductor in Form 26B electronically under digital signature in accordance with the procedures, formats and standards specified under sub-rule (5).";

"(5) The Director General of Income-tax (Systems) shall specify the procedures, formats and standards for the purposes of furnishing and verification of the statements or claim for refund in Form 26B and shall be responsible for the day-to-day administration in relation to furnishing and verification of the statements or claim for refund in Form 26B in the manner so specified.".

Regards,
-------
CA.C.V.PAWAR
PATIL DAWARE GIRASE PAWAR & ASSOCIATES

CHARTERED ACCOUNTANTS

0253-2319641. M-9423961209

For latest Updates visit Blogspot : http://canews1.blogspot.in

http://www.facebook.com/cvpawar
 

Changes in TDS Returns

TDS return under digital signature optional, new TDS forms and an insertion of new rule to claim TDS refund

Certain changes are brought by Income-tax (Second Amendment) Rules, 2013 with regard to the compliance to be made in respect of TDS and TCS, namely: 1) All statements to be furnished in Form nos. 24Q, 27Q and 26Q shall be furnished electronically and deductor has an option to furnish it under a digital signature; 2) Deductor can file statement in the new Form 26B to claim refund of the sum paid to the Central Government under Chapter XVII-B, provided: a.      The credit of such sum has not been claimed by the deductor; b.     No demand is outstanding against deductor 3) Following forms have been substituted: a.      Form 15G – Declaration to be given for claiming certain receipts without TDS b.     Form 15H - Declaration to be given by an Individual, who is above 60 years of age, for claiming certain receipts without TDS c.      Form 16 – Certificate of tax deduction from salary d.     Form 16A – Certificate for tax deduction from any other payment e.      Form 27C - Declaration to be given for obtaining goods without collection of tax f.       Form 27D – Certificate for tax collected at source g.     Form 27EQ – Quarterly statement for tax collected at source h.     Form 27Q – Quarterly statement for tax deducted at source (View Notification)

Regards,
-------
CA.C.V.PAWAR

0253-2319641. M-9423961209

Payment of TDS - Substance over form

---------- Forwarded message ----------

From: CA. Rahul Bajaj <ca.rahulbajaj@gmail.com>

Payment of TDS - Substance over form


The assessee engaged in the business of production of films, availed services from various service providers outside India in connection with shooting of films outside India. The services availed included arranging for extras, security, locations the accommodation of cast and crew, necessary permissions from local authorities, makeup of the stars, insurance cover etc. The Assessing Officer held that payments were in the nature of fees for technical services within the meaning of Explanation 2 to section 9(1)(vii) and such amounts were taxable in India in the hands of overseas service providers. Since assessee failed to withhold tax under section 195, he was treated as assessee in default and charged with interest. CIT (A) decided the matter in favour of assessee. Revenue went in for further appeal to Tribunal.

The Mumbai Bench of Tribunal held that merely because some managerial skill is required to render services, it does not render the service to be managerial in nature to be covered by section 9(1)(vii). Similarly, the requirement of knowledge of local laws on the part of the service providers to render the services such as obtaining the permissions for shooting from the local authorities or for arranging insurance of the crew members and shooting equipment would not change the basic nature of the services which otherwise are commercial services. The payment received by service providers constitutes income in the nature of business profits for the recipient. Such income is not chargeable to tax in India in the absence of PE in India. Accordingly, the assessee was not liable to deduct at source from such payments. Therefore, assessee could not be treated as assessee in default. [Yash Raj Films (P.) Ltd. v/s. Income-tax Officer (28 taxmann.com 247)].

--
warm regards,
CA. Rahul Bajaj

Procedure for activation TAN account at TIN.

---------- Forwarded message ----------
From: CA UMESH MALVADE caumesh20@gmail.com

 

Dear Professionals,

 

Tax Information Network (TIN) has always been providing various facilities to deductors.

 

One such facility provided under TIN is authenticated login (TAN account) provided to deductors/collectors at TIN website. Under this login, following functions are provided:

 

·         Online request of consolidated TDS/TCS file: Useful for preparation of correction statement.

·         Online generation of Form 16A for valid PANs.

·         Online download of default details generated by Income Tax Department.

·         Bulk upload of Form 15CA records.

·         Update of TAN account contact details.

 

As you may be aware, for creating authenticated login (TAN account), deductor/ collector has to register TAN online at TIN website. Based on the feedback received from the deductors as well as Income Tax Department, the procedure for registering as well as getting the various facilities is simplified/modified regularly. We have now made some changes in the TAN registration process. You are requested to go through the same very carefully. Very soon, preparation of correction statement will have to be made mandatorily using consolidated file provided by TIN. In view of the same, you are requested to create and activate the TAN account at TIN and avail the aforementioned facilities offered by TIN, if not done already.

 

Detailed revised procedure for creating "TAN Account" and activation of TAN account is as under.

 

·         On registration, an e-mail containing link will be sent to registered e-mail ID (s).

·         User will be required to click on the link for activating the TAN account. This link is sent for verifying the validity of e-mail ID.

·         On clicking the link, user will be prompted to provide TAN and corresponding 12 digit TAN registration number.

·         If the TAN & TAN registration number matches, then TAN account will be activated within 24 hours.

·         TAN account will be active if at least one of the e-mail ID is verified.

·         TAN account will not be activated, If the user does not click link or does not provide respective TAN and TAN registration number and the same is verified.

·         If user has provided two e-mail ID (s) on registration/ re-registration, then the TAN account will be activated even if the user clicks on the link (as mentioned above) sent at any one of the registered e-mail ID.

·         On activation of TAN account, an e-mail containing the user ID in password protected PDF file will be sent to registered e-mail ID (s). On receipt of this e-mail, user can login to TAN account.

 

Further the user may re-register the TAN if user has:

·         Forgotten the TAN account details like user ID, TAN registration no. (12 digit alphanumeric number) or

·         Would like to update the contact details of TAN account ,wherein the user does not know the login credentials of TAN account,

 

Procedure for activation of TAN account on re-registration of TAN would be the same as applicable on first time registration of TAN (as above). For detailed procedure for registration of TAN online, online request of consolidated file/ Form 16A file and default details you may download the e-tutorial available at TIN website under the download section.

 

This is system generated mail. Please do not reply to this email ID. For any query related to the above you may contact TIN Call centre at:

 

Tel: 91-20-2721 8080.

Fax: 91-20-2721 8081.

Email ID: tin_returns@nsdl.co.in 

 

On behalf of Tax Information Network of the Income Tax Department.