TDS Returns: How to File TDS Returns Online as per Section 206 of the Income Tax Act

sample tds certificate -

Filing TDS (Tax Deducted at Source) returns online is a crucial requirement for individuals, companies, and organizations in India, as per Section 206 of the Income Tax Act, 1961. Filing of TDS returns ensures that the taxes are collected and paid to the government in a timely and accurate manner. With the advancement of technology, it has become much easier to file TDS returns online. In this article, we will discuss the steps involved in filing TDS returns online and the need for an e-filing expert.

What is TDS?

TDS, or tax deducted at source, is the sum that is subtracted by the party making the payment to the taxpayer at a predetermined rate. TDS is applicable to a variety of payments, including salaries, interest, rent, commission, professional fees, etc. The tax deducted at source is required to be deposited with the government, and a TDS certificate is issued to the taxpayer.

TDS Registration

Need for TDS Returns Filing

TDS returns filing is necessary for taxpayers who have deducted tax at source. It ensures that the tax deducted is accurately calculated, deposited, and reported to the government. TDS returns filing is mandatory for individuals, companies, and organizations who have a TAN (Tax Deduction and Collection Account Number) number.


MSMEs (Micro, Small, and Medium Enterprises) play a vital role in the Indian economy. The government has introduced various schemes and initiatives to promote and support MSMEs. TDS returns filing is an essential requirement for MSMEs as it ensures timely payment of taxes and compliance with the Income Tax Act.

Prerequisites for uploading TDS returns

You must make sure the following before filing for return:

  1. You must have a TAN that is current and registered for electronic filing.
  2. Your TDS statements should be prepared using Return Preparation Utility (RPU) and validated using File Validation Utility (FVU)
  3. With Clear TDS, you can easily prepare your returns.
  4. If you want to upload using a DSC, it must be in good standing and registered for electronic filing.
  5. If you want to upload via EVC, you must either give the principal contact’s bank account or demat account information, or link the principle contact’s PAN to Aadhar.

Steps for Filing TDS Returns Online

  • Step 1: Visit the official website of the Income Tax Department ( and log in using your TAN number.
  • Step 2: Select the option for TDS Returns Filing.
  • Step 3: Fill in the required details such as the financial year, quarter, and the type of return.
  • Step 4: Download the TDS return preparation utility and fill in the details such as deductor details, deductee details, and tax deducted.
  • Step 5: Validate the details entered and generate an XML file.
  • Step 6: Upload the XML file on the Income Tax Department website.
  • Step 7: Complete the form and print the acknowledgment.

What is E-TDS Return and Who Must File it?

A TDS return prepared in form No. 24, 26 or 27 on electronic media using the specified data structure on a CD ROM or floppy disc is known as a “e-TDS return.” A completed, signed copy of Form No. 27A should be included with the prepared CD-ROM or floppy.

All business and government deductors are required by Section 206 of the Income Tax Act to submit their TDS returns online (i.e. e-TDS returns). The filing of an e-TDS return is optional for other Deductors, nevertheless.

What is Revised TDS Returns?

The revised tax amount that was paid to the government will appear on Form 16, Form 16A, or Form 26AS once the Revised TDS Return is successfully filed.

What conditions must be met before filing revised TDS Returns?

The following is a list of requirements for submitting revised TDS Returns:

  1. Only if the original return is accepted by the TIN central system, can the updated TDS Return be filed.
  2. The Provisional Receipt Number and PAN information can be used to check the status of the return on the NSDL’s official website.
  3. The most recent TDS statement must be used to prepare the updated TDS Return.You can get the consolidated statement on the TRACES website. You must enter the token or provisional receipt number from the initial returns in order to obtain the most recent statement.

The Importance of an E-filing Expert for Filing TDS Returns

While filing TDS returns online may seem simple, it involves many technicalities and legalities. A small mistake can lead to penalties and fines. An e-filing expert can help individuals, companies, and organizations to file their TDS returns accurately and efficiently. E-filing experts are well-versed with the latest regulations and can ensure compliance with the Income Tax Act.


Filing TDS returns online is a mandatory requirement for individuals, companies, and organizations who have deducted tax at source. It ensures timely payment of taxes and compliance with the Income Tax Act. Trademark registration and Intellectual Property protection are essential for businesses, and MSMEs play a vital role in the Indian economy. While filing TDS returns online, it is essential to take the help of an e-filing expert to ensure accuracy and compliance.

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