Delay in Filing of TDS returns

This query is : Resolved

PARDEEP KAPIL (Querist)
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19 September 2024 Dear Sirs : If an assessee files his TDS returns after due dates THAN can assessing officer disallow the expenses on which TDS return is late filed ? Can you suggest the rectification to be done, if TDS has been deducted (u/s 194 Q) at the time of payment to suppliers which is 90 days from date of supply / tax invoice. Regards

Dhirajlal Rambhia

Dhirajlal Rambhia (Expert)
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15 December 2024 The disallowance under Section 40(a)(ia) is more directly related to non-deduction of TDS rather than the delay in its deposit. Disallowance would not apply automatically for late payment of TDS if TDS was correctly deducted at the time of payment or credit. While there is no direct disallowance for late TDS deposit under Section 40(a)(ia) if TDS was deducted, you are liable for interest on the delay in payment.