CA. Subhash Dangi
(Chartered Accountant)
(1784 Points)
Replied 23 August 2012
Since TDS U/s 194c is deducted and remitted to IT Authority.
There in no other option except to issue Form 16A to the customer and convince him for wrong deduction and to file his IT return showing TDS deducted as shown in Form 26AS.
Vineet
(Assistant Manager)
(140 Points)
Replied 23 August 2012
company who paid the TDS to the individual can ask for the refund of amount by explaining him the situation and that person can adjusted TDS credit against his tax liability
**KK**
(B.Com. MBA. Pursuing CA & CS)
(255 Points)
Replied 23 August 2012
Thank u sir for ur reply... but Tax has been deducted for the amount of Rs.1 lac...how can the individual concern show it in his IT, without availing such income????
Vineet
(Assistant Manager)
(140 Points)
Replied 23 August 2012
you can revise the TDS return. like suppose for next quarter you can show that amount of Rs 1 lac is paid by mistake and then adjusted that amount to current quarter TDS..formats are avaiable in site.. you can refer those.
CA. Subhash Dangi
(Chartered Accountant)
(1784 Points)
Replied 23 August 2012
Your Individual customer may have many business transactions with other companies also.
If it is single & only transaction for him, let him file retrun and get refund as his income is below the taxable limit.
**KK**
(B.Com. MBA. Pursuing CA & CS)
(255 Points)
Replied 23 August 2012
My individual Customer has already crossed his exemption limit and he is paying tax for it...so this one lac cannot be shown in his IT...and also TDS is deducted only one percent u/s 194C but if i add this 1 lac to his income..he ll have to face more tax burden...
CA SANDESH MAHIPAL
(Practicing in GST and MSME )
(1985 Points)
Replied 23 August 2012
CA. Subhash Dangi
(Chartered Accountant)
(1784 Points)
Replied 23 August 2012
This 1 lakh from your compnay will be inculded is his gross receipts or turnover. He will have to compute net profit after claing duductible expneses and liaible to tax accordingly.
Even without TDS deduction also, the customer bound to include this 1 lakh in his turnover as he has raised the invoice.
I think, no need to worry about your customer tax liablility.
Vikash Kumar
(Manager Accounts (CA. Final))
(694 Points)
Replied 23 August 2012
File the return of individual's return with actual income. Write a mail to company & Cc to department. Comapny will revise return, because this mistake is done by the company. Don't try to claim false income/tds in your return. Making mail & retaining the proof will help you in future reference/evidence.
Anand Raghavendra
(Manager-Internal Audit)
(111 Points)
Replied 23 August 2012
If the deducted TDS is remitted then the only option is to issue a Form 16A
Anand Raghavendra
(Manager-Internal Audit)
(111 Points)
Replied 23 August 2012
i had answered the question in part earlier.The returns shall give the full information of the error and seek a revision of both the TDS returns Salary and u/s 194 c then on receiveing the confirmation from the Department,which they will not accept,you can go through the correct procedure.
deepak
(Job)
(69 Points)
Replied 29 August 2012
it happens many time,, tds is deducted excess or wrongly deducted in bussiness ,, there is no need to worry . On the basis of tds certificate issued by the company , individual can easily claim tds deducted and sett off against his own tax liablility if any ,, return showing refund can be filed..
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CAclubindia
