TDS Compliance: Ensure Accuracy, Avoid Penalties

Tax Deducted at Source (TDS) is a critical part of India’s taxation system. It ensures timely collection of taxes from various income sources such as salary, interest, rent, commissions, and professional fees. Proper TDS compliance is essential for both individuals and businesses to avoid penalties, interest, and legal consequences.

At AK Legal Mantra, we provide complete TDS Compliance Services—from accurate deduction to timely deposit and return filing—ensuring that your tax obligations are fulfilled without error or delay.

What is TDS Compliance?

TDS compliance refers to the correct deduction, payment, and reporting of taxes deducted at source. When a payment such as salary, rent, or contract amount exceeds the prescribed threshold, the payer must deduct a specific percentage as tax and deposit it with the government.

This process involves:

  • Deducting the correct TDS amount as per applicable section
  • Timely depositing TDS with the Income Tax Department
  • Filing TDS Returns (Form 24Q, 26Q, 27Q, etc.) quarterly
  • Issuing TDS Certificates (Form 16, 16A) to deductees
  • Ensuring correction or revision of returns if errors occur

Who Needs to Follow TDS Compliance?

  • Employers paying salaries
  • Companies and firms making payments to vendors, consultants, or professionals
  • Tenants paying rent above ₹50,000/month
  • Banks or financial institutions deducting TDS on interest income
  • Businesses & individuals making contractual or commission-based payments

 

Our TDS Compliance Services

At AK Legal Mantra, we help individuals, businesses, and organizations manage TDS efficiently and in line with the law. Our TDS services include:

✔️ TDS Deduction & Deposit
We calculate and deduct the applicable TDS amount from payments and ensure timely deposit to avoid interest or penalties.

✔️ TDS Return Filing
We file quarterly TDS returns (Form 24Q, 26Q, 27Q, 27EQ) accurately, including PAN details and challan reconciliation.

✔️ Form 16 & 16A Generation
We help you issue TDS certificates to employees (Form 16) and vendors (Form 16A) for their income tax records.

✔️ Correction & Revision of TDS Returns
In case of incorrect PANs, challan mismatches, or return errors, we provide complete support for rectifying and resubmitting corrected returns.

✔️ Compliance Advisory & Support
We provide ongoing consultancy to ensure you stay up to date with the latest TDS rules and rates under the Income Tax Act.

Why Choose AK Legal Mantra for TDS Compliance?

✅ Experienced tax professionals and chartered accountants
✅ 100% accurate return filing and reporting
✅ Timely reminders and due date tracking
✅ Correction of defaults or mismatches on TRACES
✅ Data privacy and legal compliance assurance

Why Choose AK Legal Mantra?

  • ✅ Run by Legal Experts – Lawyers, CAs, CSs

  • ✅ Tailored Legal Advice – Not just registration, but legal guidance

  • ✅ 100% Online & Transparent

  • ✅ Affordable & Reliable

  • ✅ Post-registration Legal Support

We’re committed to making your business legally secure from day one.

Consequences of Non-Compliance

Failure to comply with TDS provisions can lead to:

  • Interest on late deduction or payment
  • Penalty of ₹200 per day for late return filing (Section 234E)
  • Prosecution in extreme cases of wilful default
  • Disallowance of expenses while computing income tax
 

FAQs

1. What is the due date for TDS deposit?
TDS deducted must be deposited by the 7th of the following month. For March deductions, the due date is 30th April.

2. How often should TDS returns be filed?
TDS returns must be filed quarterly, i.e., four times a year. Each return must include all deductions made during the quarter.

3. Can I correct mistakes in TDS returns?
Yes, mistakes in TDS returns like incorrect PAN, challan numbers, or deduction amounts can be corrected through revised returns.

4. What are Form 16 and Form 16A?
Form 16 is issued to salaried individuals for TDS on salary. Form 16A is for TDS on non-salary payments like professional fees, rent, or commission.

5. Is TDS applicable to individuals or only companies?
TDS applies to both individuals and companies if the payment exceeds the threshold and they are subject to tax audit or specified conditions.