A business that deducts tax at source must deposit it and file quarterly TDS returns, reporting the deductions against each deductee’s PAN. The returns are filed quarterly, with the tax deposited by the 7th of each month. Samkhya handles your TDS deposits and returns accurately and on time.
A business that deducts tax at source (TDS), on salaries, contractor and professional payments, rent, commission, and similar, must deposit the tax and file quarterly TDS returns. The tax deducted is deposited by the 7th of the following month (the 30th of April for March), and the return for each quarter is filed by the 31st of the month after the quarter, Q1 by 31 July, Q2 by 31 October, Q3 by 31 January, and Q4 by 31 May. The return reports each deduction against the deductee’s PAN, so it appears in their Form 26AS. The forms have been renumbered under the Income Tax Act, 2025 from 1 April 2026, the salary return 24Q is now Form 138 and the non-salary return 26Q is now Form 140, though the logic of each is unchanged. A TAN is required to deduct and file.
Filing TDS correctly brings clear benefits:
TDS is reported through several returns:
TDS is deducted and filed by:
TDS applies:
TDS compliance runs on a monthly and quarterly rhythm. On each payment, the business deducts tax at the correct rate against the deductee’s PAN, and deposits it through e-Pay Tax by the 7th of the following month (the 30th of April for March). At the end of each quarter, it reconciles the challans with the deductions and files the quarterly return, Form 24Q (now 138) for salary or Form 26Q (now 140) for non-salary, using the validation utility, with a digital signature. A PRN acknowledgement is generated. Because the return drives the deductee’s Form 26AS and their TDS certificate, accurate PAN and challan details are essential. The new Income Tax Act, 2025 forms apply to payments from 1 April 2026.
For the Deductions:
For Filing:
TDS filing follows a clear cycle:
Filing your TDS returns with Samkhya Corporate Services is simple. Just follow these easy steps:
From there, our team handles the deposits, reconciliation, and quarterly returns.
TDS is an ongoing cycle:
TDS has two timelines: the deposit by the 7th of the following month (the 30th of April for March), and the quarterly return by the 31st of the month after the quarter. Missing the return attracts a late fee of Rs. 200 per day under Section 234E, capped at the TDS for the quarter and not waivable, plus a possible penalty of Rs. 10,000 to Rs. 1,00,000 under Section 271H. Late deposit attracts interest, 1% per month where tax was not deducted on time and 1.5% per month where it was deducted but not deposited. A practical caution for 2026 is the transition to the new Income Tax Act, 2025 forms: payments up to 31 March 2026 use the old forms, and those from 1 April 2026 use the new ones, so the two should not be mixed in a return.
| Item | Detail |
| Deposit | 7th of next month. |
| March Deposit | 30th April. |
| Quarterly Returns | 31 Jul, 31 Oct, 31 Jan, 31 May. |
| Salary Return | Form 24Q (now 138). |
| Non-Salary Return | Form 26Q (now 140). |
| Late Fee | Rs. 200 per day (Section 234E). |
What is a TDS return?
A TDS return is a quarterly statement of the tax a business has deducted at source, reported against each deductee’s PAN, so it reflects in their Form 26AS.
When are TDS returns due?
The quarterly returns are due by 31 July, 31 October, 31 January, and 31 May, while the tax deducted is deposited by the 7th of the following month.
What are the main TDS forms?
Form 24Q for salary TDS, Form 26Q for non-salary payments to residents, Form 27Q for non-residents, and Form 27EQ for TCS, renumbered to 138, 140, 144, and 143 under the Income Tax Act, 2025.
What is the late fee for a TDS return?
A late fee of Rs. 200 per day applies under Section 234E, capped at the TDS for the quarter, and it cannot be waived.
Do I need a TAN to deduct TDS?
Yes. A TAN is required to deduct tax at source, deposit it, and file the TDS returns.
What changed under the Income Tax Act, 2025?
From 1 April 2026, the TDS forms are renumbered, with 24Q becoming Form 138 and 26Q becoming Form 140, though the logic of each form is unchanged.
