In today’s article, we will know what is the full form of TDS, what is TDS, as well as all the information related to TDS.
TDS Full Form: Tax Deduction at Source
The full form of TDS is ‘Tax Deduction at Source’, and it is called ‘स्रोत पर कर कटौती’ in Hindi, it is a type of tax that is paid by the Indian government to some amount of the income of Indian citizens. is cut.
What is TDS?
Tax deducted at source TDS is a type of tax, under the Indian Income Tax Act 1961, the rent or payment of any type of institution or person is deducted independently by the Indian government, it is a type of tax. way of collecting (tax).
It is often used by the government to collect outsourced income such as interest, commission, dividends, rent from property or house, and other types of income deducted from it.
Main Objective of TDS
It is managed by the Central Board for Direct Taxes (CBDT), the main purpose of collecting this tax is to maintain the Indian economy at the level, because the Indian government has to do something to maintain the economy level. Cash is required, for which it takes the help of TDS.
Let us understand TDS with an example if you or I have made FD i.e. fixed deposit in any bank which comes under the Reserve Bank of India, then there will be some benefit because why would we do this work without profit.
So the interest which is provided to us by the bank on the fixed deposit, some amount is deducted by the government,
Due to which you are being given ₹ 12000 as interest, then if there is an order of the government that 10% of the TDS should be taxed, then TDS is deducted from the ₹ 12000 interest that is being given to you. You will get an interest of ₹ 10800 by deducting TDS by 10%.
There are two main forms of TDS
1. Form 16:- This is a type of certificate whose TDS is deducted, it includes the details of 1 year of TDS deduction, it consists of 2 parts, Part A and Part B, TDS deducted in Part A and the employee’s address. it happens.
Such as name, address PAN, TAN details, employment period, and details of deposits deducted with the government are included, it contains complete details of TDS, and Part B includes details of salary, income, and payment of TDS.
2. Form 16A:- This is also a TDS certificate but it is applicable to other TDS as well. It includes the name, address, and employer’s full details of the deductee or deductee. It also includes the details of the challan. 26AS is obtained.
Main sources of TDS-
There are five main sources of TDS, which are as follows:-
1. Salary: – If the income limit of any type of employee to whom salary is provided is more, then TDS is deducted from them, for this, they do not have to pay themselves.
2. Interest:- If any type of interest is provided to any person from any area, then TDS is deducted by the government in that too.
3. Commission:- If any type of person receives a commission from any sector such as an organization, company, etc., then the government deducts some amount from it as TDS.
4. Rent:- If you take rent from people for providing any kind of service, such as machine room, your land, etc., then you have to pay some part of it to the government as TDS.
5. Consult Fee:- If you charge a fee for working as a doctor, lawyer, financial, etc., then the government will charge you TDS in this too.
Benefits of TDS-
There are many benefits of TDS because its contribution is visible to us and you from every point of view, some of the benefits which I have shown in front of you are:-
- TDS helps us to keep tax evasion under control.
- TDS does not force us to pay any kind of huge amount.
- TDS is playing a better role in sustaining our economy, which is very beneficial for us and you as well as the government.
- Due to TDS, some amount is deducted from their income for the high-income people for the economy which is very good for all Indian citizens.
- It is deposited directly with the government, no second or third person can deposit this amount.
What are TDS Certificates?
TDS certificate is a certificate which contains full details of deduction and taxpayer, this certificate is required to be given by tax deductors to taxpayers, this certificate is beneficial to you in a lot of ways because it also has Certified that your tax has been deducted and deposited with the Government
Because a member of the Income Tax Department is credited to the account related to your PAN, there are two major certificates, which are called Form 16 and Form 16A, which I told you above, you must have read and understood it.
How to fill TDS Online?
Although it has been seen quite often often, that the government automatically deducts it from some sources, if some kind of source is left then how do we deposit it online, then below is the method of doing TDS online to you- Mentioned one by one:-
• Step 1:- Through Google or on any browser we/you have to type TDS Payment.
• Step 2:- After that go to www.tin-nsdl.com.
• Step 3:- After that go to Services then go to E-Payment TaxesOnline.
• Step 4:- Then after this 281 will go to the challan number, then after opening it, click on TDS / TCS Proceed in it.
• Step 5:- After this, you/we will click on Company Deductees or Non–Company Deductees in Tax applicable as per your choice.
• Step 6:- After this click on TDS Payable by Taxpayer. After this, you/we have to select Nature of Payment in the section and select it as per the need.
After this, you/we have to select the name of the bank as well as everything, then select everything in Tax Deduction Account, after that our TDS payment is done successfully.
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