TDS return: Be ready to pay fine for wrong info

A one-day seminar on the provisions of TDS and TCS applicable in banking and insurance sector was organised at Indore branch of Institute of Chartered Accountants of India (ICAI) in Indore on Saturday.

Prominent Chartered Accountants  of the city Manish Dafaria and Rajesh Mehta addressed the gathering on the various provisions of Tax Deducted at Source (TDS) and Tax Collected at Source (TCS) and the measures which should be taken in the banking and insurance sector.

Elucidating on the TDS provisions related to the salary of the employees of banks and insurance companies, Dafaria said, “As an employer, the banking and insurance companies are the first educators of their employees. Hence they should be more responsible about making their employees aware about the aspects related to TDS.”

He further informed that giving incorrect information while filing TDS return can attract penalty ranging from Rs 10,000 to 1 lakh under the provisions of Income Tax Act.

Later on the occasion, CA Rajesh informed the gathering about the provisions of TDS and TCS under Income Tax Act. “If any person whose income from interest on Fixed Deposit exceeds the limit of Rs 2 lakh, then he cannot submit Form 15G that allows him to avoid paying TDS from his income”, he said. He added that if a bank fails to deduct TDS, than a penalty equal ato the TDS amount can be imposed under the applicable sections of Income Tax Act.

Earlier during the seminar, Chairman of ICAI (Indore Branch) CA Manoj P Gupta stressed on focussing more on the aspects of TDS.

Seminar held on VAT Act
On Saturday, a seminar on Madhya Pradesh Value Added Tax Act was organised by the Tax Practitioners Association, Indore in association with the Indore branch of ICAI. During the event, keynote speaker in the seminar and associate editor, Sales Tax Judgments, PH Motlani spoke on various aspects of the MP VAT Act.