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Non compliance by tds deductor

Lalit Nyati (Student) (487 Points)

08 December 2014

One of person's TDS deduct u/s 194J and deductor not deposit to Govt. then what are the remedy to deductee for take TDS credit?

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7 Replies

Aditi Dosi (CA Final Student) (105 Points)
Replied 08 December 2014

Can't take TDS credit TDS credit can only be taken if deductor has deposited amount to the central govt. and filled tds return

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subhash kumar jha (PROFESSION) (445 Points)
Replied 08 December 2014

Credit of TDS can't be denied on the grounds that deductor has not deposited amount to the central govt and filled tds return

It can be taken on the basis of invoice and supported with bank statement thet i have got only 90 % and TDS has been deducted @ 10 %.

In 143(1) this will not be considered but u can write a letter that to get credit of that

Govt. will send demand of Interest and may impose penalty on deductor.

subhash kumar jha (PROFESSION) (445 Points)
Replied 08 December 2014

Recently mumbai bench of the income tax appelate tribunal (The tribunal) in the case of citicorp finance india limited (Taxpayer) held that tax credit can't be denied to the taxpayer even if TDS certificate is not available with the taxpayer or entry is not available in 26AS .

Credit will be given on the basis of evidence of tax deducted also.

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Audit Executive (taxation) (186 Points)
Replied 08 December 2014

this is fault of deductor not deductee.So tax can't be demand by Govt again.Credit will be available on the basis of evidence in hand .

well said above

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Lalit Nyati (Student) (487 Points)
Replied 16 December 2014

@ subhash kumar when TDS credit doesn't showing in 26AS then how to get credit? if you have a letter format of it then please send to my mail id @ lalitnyati @ gmail.com.

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Lalit Nyati (Student) (487 Points)
Replied 18 December 2014

@ Shubhash Kumar, Should I meet AO and show evidence (Bank Statement etc.) when filing ITR?

Dipjyoti Majumdar (CA in service & CS. dipmaj@ rediffmail.com ) (3468 Points)
Replied 18 December 2014

It is important to have a declaration or confirmation that the deduction or receipt of lesser amount from the invoice is towards tax deduction at source. Otherwise the payer may argue that the deduction is due to deficiency in service or non completion of job or damages.

Thanks,

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