What is the penalty for TDS

TDS on Salary: Check How To Calculate TDS on Salary, TDS Deduction

Hi guy’s

This is Ravi Varma, in this article I will tell you what is the penalty for TDS.

Let’s start,

When a person’s salary crosses the threshold limit set by the government, then the government has to pay tax what we call TDS.

And if a person does not deduct his TDS or deposit it to the government, then at that time the government imposes a penalty on him.

#TDS not deductpenalty/interest
1If we do not deduct TDS1% per month (only TDS amount)
2If we do not deposit the TDS1.5% per month (only TDS amount)
3If we do not return filling the TDS200 per day (only TDS amount)

Note**** If a person files his own TDS late, then the Assessing Officer can impose a fine of 10000 to 100000 on him.

**** This penalty is charged only on the deducted value of TDS

  • If we do not deduct TDS:- If a person does not get his TDS deducted, then a penalty of 1% is levied on him.
  • If we do not deposit the TDS:- As we know if our TDS has been deducted then it has to be deposited to the government on the 7th and if we do not do so then a penalty of 1.5% is imposed.
  • If we do not return filling the TDS:- If we do not file the TDS return of any person then at that time the government levies a fine of Rs 200 per day.