(Querist) 25 June 2011
This query is : Resolved
Tax deducted & paid after due date as prescribed in chapter XVII for eg tax deducted on 31/3/10 deposited on 7 july 10 so the date of deposit is not as per chapter XVII.
NOW COMING TO SEC 40a(ia) THE ABOVE EXPENSES WILL NOT BE DISALLOWED B/C TDS DEPOSITED BEFORE DUE DATE U/S 139(1)
NOW WHETHER I HV TO REPORT ABOVE POINT IN PT NO 27 OF 3CD
A V Vishal
(Expert) 25 June 2011
Please Refer the Point 27 closely which is reproduced hereunder:
27 (a) Whether the assessee has complied with the provisions of Chapter XVII-B regarding deduction of tax at source and regarding the payment thereof to the credit of the Central Government. (b) If the provisions of Chapter XVII-B have not been complied with, please give the following details, namely:-
(i) Tax deductible and not deducted at all (ii) Shortfall on account of lesser deduction than required to be deducted (iii) Tax deducted late
If you have a look at the information asked your query does not fit into the reasons assigned under 27(b)(i)(ii) or (iii). Since the tax has been deposited late but before the due date of filing the return you can ignore this section.
(Expert) 28 June 2011
The auditor should not report the lapses since it may be delayed deposit but it is permissible deposit for deduction under section 40a(ia).