Friends,
NSDL has notified changes in data structure and validations for filing eTDS statement for FY 2010-11. These changes are effective for the forthcoming second quarter statement filing due on Oct 15, 2010. The changes are primarily to give effect to Notification 41.
Changes
1. 100% Valid PANs
2. Reporting of Transport Contract payments without deduction of TDS
3. Flagging penal rate deductions
4. Mandatory Contact details of Deductor
5. Reporting requirements for Govt Deductors
1.100% Valid PANs
Existing Rule
At present a minimum percentage of valid PAN is mandatory in any eTDS statement. This is 95% for Form 24Q and 85% for others
Changed Rule
Form 24Q/26Q/27Q
All deductee records must have valid PANs. Even deductee records where tax has been deducted at lower/NIL rate must have valid PAN
Only exception is deductee records where tax has been deducted at higher rate u/s 206AA
Form 27EQ
The existing rule of 85% continues
2.Reporting of Transport Contract payments without deduction of TDS
Finance Act 2009 had made an important change in respect of applicability of TDS on transport contractors. Section 194C was replaced and the following two sub sections provided for non deduction of TDS on transport contractors
(6) No deduction shall be made from any sum credited or paid or likely to be credited or paid during the previous year to the account of a contractor during the course of business of plying, hiring or leasing goods carriages, on furnishing of his Permanent Account Number, to the person paying or crediting such sum.
(7) The person responsible for paying or crediting any sum to the person referred to in subsection (6) shall furnish, to the prescribed income-tax authority or the person authorised by it, such particulars, in such form and within such time as may be prescribed.
In terms of sub section (7), now such transactions are to be reported in regular eTDS statement.
* All such deductions to transport contractors where tax has not been deducted are to be marked “T” in the column Reason for Non-deduction / Lower Deduction, if any in the deductee details
3 :Penal rate deductions
All deductions where tax has been deducted at higher rate in terms of section 206AA are to be marked “C” in the column Reason for Non deduction / Lower Deduction, if any in the deductee sheet.Such transactions need not have valid PAN.
For records marked with higher rate only below mentioned fields can be updated:
* PAN
* Amount of payment
* Date of payment
Mandatory Contact details of Deductor
In the deductor details , contact details of deductors are provided
* Email-Id of deductor / responsible person is now mandatory
* Field for mobile number of responsible person has been added.
* Any one of the contact details of deductor is mandatory:
* Deductor telephone no. along with STD code
* Responsible person telephone no. along with STD code
* Mobile no. responsible person
Reporting requirements for Govt Deductors
For TDS deposited by book entry, 7 digit number generated by TIN for accepted Form 24G statement to be quoted in BSR code field. This value will be provided by the Accounts Officer to the deductor.
For TDS deposited by book entry, 5 digit number generated by TIN for DDO record of accepted Form 24G statement will be quoted in Transfer voucher field. This value will be provided by the Accounts Officer to the deductor
Form No 27EQ
Form No 27EQ is to be filed for tax collection at source
Validation for no/lower/higher deduction will not be applicable for Form no. 27EQ
PAN compliance validation of 85% will be applicable for Form no. 27EQ
New File Validation Utility
Quarterly e-TDS statements (regular and correction) upto FY 2009-10 should be validated with FVU version 2.129. There is no change in the validations for statements upto F.Y. 2009-10 Quarterly e-TDS statements (regular and correction) for FY 2010-11 should be validated with FVU version 3.0.
Changes
1. 100% Valid PANs
2. Reporting of Transport Contract payments without deduction of TDS
3. Flagging penal rate deductions
4. Mandatory Contact details of Deductor
5. Reporting requirements for Govt Deductors
1.100% Valid PANs
Existing Rule
At present a minimum percentage of valid PAN is mandatory in any eTDS statement. This is 95% for Form 24Q and 85% for others
Changed Rule
Form 24Q/26Q/27Q
All deductee records must have valid PANs. Even deductee records where tax has been deducted at lower/NIL rate must have valid PAN
Only exception is deductee records where tax has been deducted at higher rate u/s 206AA
Form 27EQ
The existing rule of 85% continues
2.Reporting of Transport Contract payments without deduction of TDS
Finance Act 2009 had made an important change in respect of applicability of TDS on transport contractors. Section 194C was replaced and the following two sub sections provided for non deduction of TDS on transport contractors
(6) No deduction shall be made from any sum credited or paid or likely to be credited or paid during the previous year to the account of a contractor during the course of business of plying, hiring or leasing goods carriages, on furnishing of his Permanent Account Number, to the person paying or crediting such sum.
(7) The person responsible for paying or crediting any sum to the person referred to in subsection (6) shall furnish, to the prescribed income-tax authority or the person authorised by it, such particulars, in such form and within such time as may be prescribed.
In terms of sub section (7), now such transactions are to be reported in regular eTDS statement.
* All such deductions to transport contractors where tax has not been deducted are to be marked “T” in the column Reason for Non-deduction / Lower Deduction, if any in the deductee details
3 :Penal rate deductions
All deductions where tax has been deducted at higher rate in terms of section 206AA are to be marked “C” in the column Reason for Non deduction / Lower Deduction, if any in the deductee sheet.Such transactions need not have valid PAN.
For records marked with higher rate only below mentioned fields can be updated:
* PAN
* Amount of payment
* Date of payment
Mandatory Contact details of Deductor
In the deductor details , contact details of deductors are provided
* Email-Id of deductor / responsible person is now mandatory
* Field for mobile number of responsible person has been added.
* Any one of the contact details of deductor is mandatory:
* Deductor telephone no. along with STD code
* Responsible person telephone no. along with STD code
* Mobile no. responsible person
Reporting requirements for Govt Deductors
For TDS deposited by book entry, 7 digit number generated by TIN for accepted Form 24G statement to be quoted in BSR code field. This value will be provided by the Accounts Officer to the deductor.
For TDS deposited by book entry, 5 digit number generated by TIN for DDO record of accepted Form 24G statement will be quoted in Transfer voucher field. This value will be provided by the Accounts Officer to the deductor
Form No 27EQ
Form No 27EQ is to be filed for tax collection at source
Validation for no/lower/higher deduction will not be applicable for Form no. 27EQ
PAN compliance validation of 85% will be applicable for Form no. 27EQ
New File Validation Utility
Quarterly e-TDS statements (regular and correction) upto FY 2009-10 should be validated with FVU version 2.129. There is no change in the validations for statements upto F.Y. 2009-10 Quarterly e-TDS statements (regular and correction) for FY 2010-11 should be validated with FVU version 3.0.
