TDS deduction at higher rate.

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Anjan Ray (Querist)
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26 May 2011 Deduction of TDS @ 20% in case of non availibility of PAN of Deductee.

What is the liability of the deductor if not been deducted @ 20% by mistake or by ignorance?

Is the liability become comes on deductor head?

Please suggest.

Aditya Maheshwari

Aditya Maheshwari (Expert)
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26 May 2011 Yes it is a obligation casted on the deductors head to deduct TDS at a higher rate of 20% if PAN not available. If not done then u have to pay from ur own pocket and if a chance then u can recover the same from the party if possible.

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Anjan Ray

Anjan Ray (Querist)
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27 May 2011 Thank you Mr. Aditya for your valuable suggesion.

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