TDS changes notified for FY 2010-11

Notification No.41/2010; SO No.1261(E) dated 31.05.2010 [PDF]

The Central Board of Direct Taxes (CBDT) have amended the Rules relating to TDS provisions date and mode of payment of tax deducted at source (TDS), TDS certificate and filing of ‘statement of TDS’ (TDS return) vide Notification No.41/2010; SO No.1261(E) dated 31.05.2010. The amended rules will apply only in respect of tax deducted on or after 1st day of April 2010.

Summary of changes:

1. No change in TDS system for 2009-10
2. These will be applicable only for the deductions made on or after 01/04/2010. So, for last year TDS certificates and Last quarter return, earlier procedures/rules to be followed.
3. Form 16A is compulsory to be issued “Quarterly” by the deductor. No other periodicity allowed.
4. TDS certificates need to be issued only after filing TDS statements.
5. TDS return due date for 4th Quarter (from 10-11) is preponed from 15th June to 15th May
6. Form 16 due date extended from 30th April to 31st May.
7. Form 16A should be issued within 15 days from the due date of TDS statements of respective quarter.
8. No major change in Challan Payment for non-government deductors.
9. PAN is compulsory for all the deductions in Quarterly statement. Amended return filing structure and the Non-PAN deductions handling procedure would be indicated shortly.
10. Income Tax Commissioner (TDS) details is required to be mentioned in TDS certificate, of respective TAN holder
11. Form 27D (TCS Certificate) has same implication as of Form 16A.
12. New Form 24G notified for Government deductors (PAO and DDOs), where the details of TDS remittances to treasury has to be filed monthly.

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