ITR Filing FY 2019-20: Is there any discrepancy in your TDS and TDS credit as per Form 26AS? Know what to do in such a situation | Personal Finance News
![](https://morningtopnews.com/wp-content/uploads/2020/09/884065-incometax-pixabay.jpg)
[ad_1]
New Delhi: This year Central Board of Direct Taxes (CBDT) has brought in the new Form 26AS for tax payers. CBDT says that this is the faceless hand-holding of the taxpayers to e-file their income tax returns quickly and correctly.
Tax payers will be filing the Income Tax Return (ITR) for the FY 2019-20 (AY 2020-21).
From this Assessment Year, taxpayers will see an improved Form 26AS which would carry some additional details on taxpayers’ financial transactions as specified in the Statement of Financial Transactions (SFTs) in various categories.
Every person deducting tax (deductor) at source is required to furnish the details of tax deducted by him to the Income-tax Department.
The details covers the name of the deductee, his/her Permanent Account Number, amount of tax deducted, amount paid to the deductee, date of payment of TDS to the credit of government, etc. On the basis of the details of TDS provided by the deductor, the Income-tax Department updates Form 26AS of the deductee.
However, several times it may so happen that the actual amount of TDS and TDS credit as appearing in Form 26AS may differ. It may also happen that the TDS credit appearing in Form 26AS may be less as compared to actual TDS. One of the reasons for it may be this may be non-furnishing of TDS details to the Income-tax Department by the deductor, deducting the tax in incorrect Permanent Account Number, etc.
What should you do if such a situation arises?
If such a situation arises, the deductee should approach the deductor and request for necessary steps to rectify the discrepancies.
The Income-tax Department updates the TDS details in Form 26AS on basis of details provided by the deductor. Therefore if there is any default on the part of deductor like non -furnishing of TDS details like TDS return to the Income-tax Department, deducting the tax in incorrect Permanents Account Number, etc. then Form 26AS will not reflect the actual TDS.
In such a case, the taxpayer may not be able to claim the credit of correct TDS. Hence, the taxpayers are advised to confirm the tax credit appearing in Form 26AS and should reconcile the difference, if any.
If discrepancy is due to deductor , then he may file TDS/TCS correction statement and correct the same.
[ad_2]
Source link