(Tax Consultant)

MISHRANI & CO.

BHAVIK MISHRANI & ASSOCIATES ,

Above SBI , Jayshree Road,

Junagadh-362001

Address:

E-TDS :

PAN Services Available

TDS or best known Tax Deducted at Source is one of the modes of collecting Income-tax from the assesses in India. This is governed under Indian Income Tax Act, 1961, by the Central Board for Direct Taxes (CBDT) and is part of the Department of Revenue managed by Indian Revenue Service (IRS), Ministry of Finance, Govt. of India.

In simple terms, TDS is the amount of tax getting deducted from the person (Employee/Deductee) by the person paying (Employer/Deductor). National Securities Depository Ltd. (NSDL) after having modernized the settlement system in the Indian Capital Market by pioneering scrip less settlement is now in the process of establishing a nationwide Tax Information Network (TIN) on behalf of the Income Tax Department (ITD). This is designed to make the tax administration more effective, furnishing of returns convenient, reduce compliance cost and bring greater transparency.

A tax deductor is also required to issue TDS certificate to the deductee within specified timed under section 203 of the IT Act. The certification from the deductor, for the deduction and payment of the respective TDS amount to the bank, issued to the deductee is a TDS certificate.

The deductee should produce the details of this certificate, during the regular assessment of income tax, to adjust the amount of TDS against the Tax payable by the Deductee [assessee].