Due date for deposit of Tax deducted/collected for the month of January, 2015 is 7th February 2015. In case the assessee deposits the TDS Payment after the due date of payment of the tax deducted at source, he shall be liable to pay interest @1.5% for every month or every part of the month during which the amount is not deposited with the government.
Earlier, the Interest liable to be paid was 1% but this has been increased to 1.5% pm with a view to discourage the practice of delaying the deposit of tax after deduction.
Interest @ 1.5% is liable to be paid from the date on which the TDS was deducted and not from the date the TDS was due.
For example: TDS was deducted on 25th June and the due date for TDS Payment was 7th July. The assessee fails to deposit the TDS by 7th July. In such a case, the Interest would be calculated from 25th June and not from 7th June.
Recently TRACE updated the website and displayed the important notifications about short payment & PAN error. The following important notifications are as under :
- If you have received intermediate communication for statement on hold due to Short Payment and PAN error; please wait for 48 hours to submit Online Correction on TRACES.
- Considering peak statement filing time, processing of statements might take 7 to 10 working days from date of filing. 99% of the statements filed till 25th Jan 2015 have been processed for 26AS. Please wait for 24 hours after receiving a communication to submit Online Corrections at TRACES.
- Offline correction facility is enabled on Traces to do and submit correction statement using utility from Financial Year 2013-14 onwards. This facilities is available only to the deductors having consolidated Deductee rows less than 5 Lakhs both in Annexure – 1 and Annexure – 2.
- TDS-CPC has been awarded the National e-Governance Gold award under category of Excellence in Government Process Re-engineering.
- CPC (TDS) prompts you to first close the Short payment defaults before submission of request for download of TDS Certificates.