Excess deposit of tds

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Sambhu (Querist)
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26 December 2009 Whether by mistake twice deposit of TDS in a year can be adjusted from the TDS libaility of next year.If not? then tell me the procedure to claim the same from the department.

MAHENDRA KUMAR BAGRECHA

MAHENDRA KUMAR BAGRECHA (Expert)
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28 December 2009 Dear Sambhu,

Excess deduction of TDS cannot be adjust again next year liability. You can adjust it against next payment to same party in same financial year or if there will be no payment to be made during the year, you will have to raise a debit note and get reimbursment from the party.

Sambhu

Sambhu (Querist)
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06 January 2010 There is no excess deduction but excess deposit to the central Govt. it relates to Payment to Non Resident Company under DTAA Agreement. TDS @ 10% which is the liability of us to deposit TDS by mistakely twice deposited into the credit of central govt.

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Asha Kanta Sharma

Asha Kanta Sharma

(Expert)
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21 July 2024 If TDS has been mistakenly deposited twice in a year for payments to a Non-Resident Company under DTAA (Double Taxation Avoidance Agreement), and there is no excess deduction, but rather an excess deposit made to the Central Government, here's how you can proceed to claim the refund:

### Procedure to Claim Refund of Excess TDS:

1. **Verification of Excess Deposit**: Ensure that you have correctly identified the excess deposit of TDS to the Central Government for the specific transactions.

2. **Prepare Refund Application**: You need to file an application for refund with the Income Tax Department. Here are the steps:

- **Form 26B**: Obtain Form 26B from the Income Tax Department's website or your tax consultant. This form is used for claiming refund of excess TDS deposited.

- **Documentary Evidence**: Gather all supporting documents such as challans, TDS certificates (Form 16A, if applicable), and any other relevant documents that prove the excess deposit.

3. **Online Submission**: Nowadays, refund claims are typically filed online through the Income Tax Department's e-filing portal.

- Log in to the e-filing portal (https://www.incometaxindiaefiling.gov.in/) using your credentials.
- Navigate to the 'My Account' section and select 'Refund/Demand Status'.
- Fill out Form 26B with accurate details, including the assessment year, TAN (Tax Deduction and Collection Account Number), details of the excess deposit, and bank account details for receiving the refund.

4. **Submission of Documents**: Upload the scanned copies of Form 26B and supporting documents (challans, TDS certificates) on the portal.

5. **Verification and Processing**: The Income Tax Department will verify the details submitted and process the refund.

6. **Follow-up**: Monitor the status of your refund application periodically on the e-filing portal. You may also receive communications from the department seeking additional information or clarification.

### Points to Remember:

- Ensure all details are accurate and matches the records maintained by the Income Tax Department.
- Refunds are typically processed within a few weeks to months, depending on the complexity and correctness of the application.
- In case of any discrepancy or delay, follow up with the department through the grievance redressal mechanism available on the portal.

By following these steps and providing accurate documentation, you should be able to claim the refund of the excess TDS deposited by mistake to the Central Government efficiently.