How to Fill Out TDS Form 24Q
In India, one of the main jobs of employers is to handle staff taxes and salaries. Taking Tax Deducted at Source (TDS) out of employees’ pay and giving it to the government is an important part of this process. For companies to report these deductions, they need to fill out Form 24Q. We’ll get right to the important parts you need to know. File your TDS/TCS returns and ensure smooth compliance.
What does TDS Form 24Q mean?
Form 24Q is a quarterly TDS (Tax Deducted at Source) return filed by employers to report salary payments and the TDS deducted under Section 192 of the Income Tax Act. It contains details of the salary paid, TDS deducted, and challan information for depositing the tax with the government.
Important Parts of Form 24Q
- It includes Annexure I (deductee-wise TDS details) for all four quarters.
- Annexure II (salary breakup, deductions, and other employee income details) is required only in the fourth quarter.
- The form must be filed online or offline, with online filing mandatory for government institutions, companies with audited accounts, or those having more than 20 employees.
Format and filing requirements:
- The return file must be in ASCII text format with specific formatting rules (uppercase constants, date format DDMMYYYY, decimal places for amounts, and TDS rates).
- Details such as TAN, PAN, challan serial number, BSR code, date of deposit, employee PAN, salary paid, TDS amount, and section codes must be included.
- Annexure I details the challan and deductee information each quarter; Annexure II provides detailed salary info for the entire financial year and is submitted only with the Q4 return.
When You Need to File Form 24Q
Timely filing is crucial to avoid penalties. Here are the due dates:
| Quarter | Period | Due Date |
| Q1 | April – June | 31st July |
| Q2 | July – September | 31st October |
| Q3 | October – December | 31st January |
| Q4 | January – March | 31st May |
How do I fill out Form 24Q?
NSDL gives you the Return Preparation Utility (RPU), which you should use. For each quarter, fill out Annexure I. For the fourth quarter, fill out Annexure II. Here are some basic aspects to remember:
- Validate File: Use the File Validation Utility (FVU) to check the file.
- Upload Return: Use your TAN details to send the verified file online through the TRACES portal.
- Authenticate: Use an Electronic Verification Code (EVC) or a Digital Signature Certificate (DSC) to make sure the entry is real.
- Acknowledgement: When you file something successfully, keep the recognition number for future use.
Penalties for Filing Late
There may be penalties if the date is missed:
- There is a fee of ₹200 per day until the report is filed, up to the TDS amount.
- Section 271H also says that people who don’t file or file incorrectly can be fined between ₹10,000 and ₹1 lakh.
Why Form 24Q Is Important
This file is for overall transparency but Form 24Q is used for several important things:
- Compliance: Makes sure that companies follow tax rules.
- Ease of Filing ITR: Gives workers the salary and tax information they need to file their income tax returns.
- Avoids Legal Problems: Employers can avoid legal problems and fines by filing regularly and correctly.
What Not to Do: Common Mistakes
Employers often make the following mistakes when they fill out Form 24Q:
- The workers’ PAN is wrong.
- Problems with the details on the challan and the real payments
- Mistakes in the salary numbers
- I forgot to send Annexure II for the fourth quarter.
- Not sending in NIL forms when no TDS is taken out of salaries.
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Form 24Q is an important record for all employers who deal with paying employees and deducting TDS. It helps keep the Indian tax system running smoothly and helps employees manage their tax returns well if they file them properly and on time. Employers who stay up to date on the rules and use government tools like the NSDL utilities and the TRACES portal can make filing easier and avoid fines. Not only does careful filing show that you follow the rules, but it also helps you build trust and honesty with your employees.
