What is TDS (Tax Deducted at Source)?
TDS is a means of collecting income tax in India under the Indian Income Tax Act, 1961. Any payment covered under TDS provisions requires the payer to deduct tax at source and remit it to the government.
Our comprehensive TDS services cover:
- TDS deduction at correct rates (Sections 192-194, 194A, 194C, 194H, 194J, etc.)
- Timely deposit of TDS with government
- Quarterly TDS return filing (Forms 24Q, 26Q, 27Q, 27EQ)
- Issuance of Form 16/16A to deductees
- TDS assessment and notice handling
Deduct, deposit and file TDS without penalties
- TDS rates checked for each type of payment
- Challans and quarterly returns (24Q, 26Q) filed
- Form 16 and 16A issued on time
Why is TDS Compliance Important?
Avoid Penalties
Late deduction/deposit attracts 1-1.5% interest per month + penalties up to ₹1,00,000.
Smooth Deductee Compliance
Proper TDS certificates help deductees claim tax credits.
Audit Readiness
Maintains clean records for tax audits and assessments.
Legal Protection
Reduces risk of prosecution for non-compliance (Section 276B).
Our TDS Compliance Services
TDS Deduction Calculation
Accurate TDS computation for all applicable payments
TDS Payment
Timely deposit with correct challan preparation
TDS Return Filing
Quarterly filing of Forms 24Q, 26Q, 27Q, 27EQ
Form 16/16A Generation
Issuance of TDS certificates to deductees
TDS Reconciliation
Matching books with Form 26AS and resolving mismatches
TDS Notice Handling
Representation for 234E, 201(1), 206AB notices
Our TDS Compliance Process
1. Client Onboarding
Understanding your business and TDS obligations
2. TDS Deduction Planning
Identifying applicable sections and correct rates
3. Monthly Compliance
Deduction calculation and payment processing
4. Quarterly Filing
Preparation and submission of TDS returns
5. Annual Compliance
Form 16/16A generation and distribution
6. Ongoing Support
Notice handling and query resolution
TDS Due Dates
| Compliance | Period | Due Date |
|---|---|---|
| TDS Payment | Monthly | 7th of next month |
| TDS Return Filing | Q1 (Apr-Jun) | 31st July |
| Q2 (Jul-Sep) | 31st October | |
| Q3 (Oct-Dec) | 31st January | |
| Q4 (Jan-Mar) | 31st May | |
| Form 16 Issuance | Annual | 15th June |
Transparent Pricing
| Service | Basic | Comprehensive |
|---|---|---|
| Salary TDS (Form 24Q) | ₹999/quarter | ₹2,999/quarter |
| Non-Salary TDS (Form 26Q) | ₹1,499/quarter | ₹3,499/quarter |
| Full TDS Compliance | ₹4,999/year | ₹9,999/year |
| TDS Notice Handling | ₹1,999/notice | ₹3,999/notice |
Common Mistakes to Avoid
TDS compliance goes wrong most often in these areas.
- Applying the wrong section or rate – Each type of payment has its own section and rate.
- Not deducting on time – TDS is due at the time of credit or payment, whichever is earlier.
- Missing lower deduction certificates – Check if the payee holds a certificate before deducting.
- Ignoring non-resident rules – Payments to non-residents follow different rules.
- No reconciliation with books – TDS returns should match the expenses in your accounts.
The TDS Compliance Cycle
Deduct at the right time
At credit or payment, whichever is earlier.
Deposit by the due date
Generally the 7th of the following month.
Quarterly returns
24Q, 26Q and 27Q filed on time.
Certificates
Form 16 and 16A issued to deductees.
Helpful Guides
Free, plain-English guides from our compliance team:
Why Choose Vaidam Consultancy for TDS Compliance
Right rate, every payment
We check sections and rates for salaries, rent, contracts and professional fees.
Deadlines tracked
Monthly deposits and quarterly returns are scheduled in advance.
Clear, upfront pricing
Our fees are listed on this page, and any government fee is shown separately before we start.
Notice handling
Defaults and short-deduction notices are resolved with corrections.
Frequently Asked Questions
Late payment attracts 1.5% interest per month until paid. Additional penalties under Section 271H may apply up to ₹1,00,000.
TDS should be deducted at the time of payment or credit, whichever is earlier. For salaries, it's deducted when paid.
Form 16 is for salaried employees (Section 192), while Form 16A is for non-salary TDS deductions (other sections).
Yes, TDS returns can be revised anytime before the assessment year ends to correct errors.
TDS deducted in a month must generally be deposited by the 7th of the following month; for March the due date is 30 April.
A late fee of ₹200 per day applies under Section 234E, up to the amount of TDS, and a further penalty may apply under Section 271H.
TAN is the Tax Deduction and Collection Account Number, required by anyone who deducts or collects tax at source.
Yes. Errors can be corrected by filing correction statements through TRACES.