Question ID : 40936

TDS on Salaries

In case pvt ltd Co. having turnover of Rs 2.5 cr and having 2 directors, TDS on salaries is not deducted by the company and Form 24Q not filed for all 4 Quarters . However in the person income Tax Return of both directors, Salaries from companies are properly reported and Self Assessment tax paid. Query : In this situation is company required to Deduct and pay TDS and File TDS Return . Thanking you

Answer ID : 80857

Filing of Form 24Q is mandatory for company though tax on salaries has been paid by Director himself. Form 24Q is not mere tax deduction, however it is statement of disclosure and confirmation about payment to certain person also. If payment on salary is fully paid , company need not to pay tds again . Form 24Q can be filed with no tax deduction by selecting correct flag. CA certificate from Director need to collect to confirm tax payment on salary income.

Answer ID : 80858

Yes. The company is required to deduct TDS from salary of both the directors and file Form 24Q, even if Self assessment tax is paid by directors.

Answer ID : 80868

Supplementing the above answer as TDS is to be dededucted consequently 27Q for all the Quarters to be filed with late fee and interest if TDS IS applicable

Answer ID : 80869

Inadvertently my first half of answer is not posted... Any person ( Limited Company Public/Private)making salary payment if the payee is an individual exceeds taxable limit has to deduct tax U/S 192 of the Income Tax Act, 1961

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