Who is Eligible for TDS Return? – What Taxpayer Can Claim TDS as Income

Tax deduction at source (TDS) is an effective way to ensure that taxpayers do not evade taxes on their income. Taxpayers who are eligible for TDS can claim it as a deduction from their gross income when they file their tax returns. However, this does not mean that every taxpayer is eligible for TDS. To claim TDS on your income, you must fulfill certain conditions and roles. These are: – returning resident – You are a returning resident if you have stayed outside India for 182 or more days in the last 12 months and you have been away from India for a continuous period of 365 or more days in the last 12 months; OR assessee with short-term assignments abroad – If you are an employee of a company and have been sent on an assignment outside India for a period of less than 5 years; AND Individuals who satisfy any one of the following two conditions – If you are an individual Resident Indian with Foreign Assets (RICFAs) – RICFA means Resident Indian with Foreign Assets, which includes Resident Indian (forward abroad), Non-Resident Indian who is also a Returned Resident, Person of Indian origin etc.; Persons residing outside India but owning property there; A person residing outside India but having monetary resources exceeding $n in a Financial year; OR An NRI – An NRI means a non-resident Indian which includes all individuals who fall under the Explanation to Section 6AA of the Income Tax Act 1961. Read

Who is Eligible for TDS Return?

A taxpayer is eligible for TDS if he/she satisfies the following conditions: – Income Tax department will automatically deduct TDS if the conditions above are satisfied. If the above conditions do not apply to you, you can make a claim to have TDS deducted.

Taxpayers who are eligible for claiming TDS

The following taxpayers are eligible for claiming TDS: – Note: If you are an employee, you can claim TDS while filing your income tax return online.

Who is not Eligible for TDS Return?

There are certain taxpayers who are not eligible to claim TDS. The taxpayers who are not eligible for claiming TDS are: – – If you are a non-resident, you cannot claim TDS if you are eligible to be taxed as a BFR (bona fide resident). If you are a non-resident and you have been granted an approval to be taxed as a BFR, you can claim TDS. – If you earn income in India through a trust or a non-profit organization, you cannot claim TDS. – If you earn income as a director or a manager of a company, you cannot claim TDS. – If you earn income as a professional like a doctor, lawyer, CA, engineer or architect, you cannot claim TDS. – If you have received income from writing books or articles, you cannot claim TDS.

When can TDS be claimed from Income?

TDS is generally deducted from your income at the time of payment. However, in some cases, you can make a claim for TDS deduction after you file your income tax return. You will have to make a claim for TDS in your income tax return. The following are the instances when you can claim TDS after filing your income tax return: – – You have earned income from a non-resident trust and you receive a Form No. 10 getting deducted. In this case, you can claim TDS at the time of filing your income tax return. – You are an employee who is allowed to claim standard deduction while filing your income tax return. If you have received income from an employer who has deducted TDS, you can claim TDS at the time of filing your income tax return. – You have earned income from a non-resident company and you receive a Form No. 16 getting deducted. In this case, you can claim TDS at the time of filing your income tax return.

How to Claim Tax Deduction at Source (TDS)?

You can claim TDS while filing your income tax return online. You can also file a separate TDS claim form if you have received income from a non-resident company or trust or you have received income as a non-resident from an Indian source. The TDS claim form can be found on the Income Tax department’s website and is available in both English and Hindi languages. – The steps to claim TDS and file your income tax return online are as follows: – – Login to ird.gov.in or tds.gov.in. – Select ‘New User’ and enter your basic details. – Select ‘New User’ again and enter your credentials. – Select ‘Continue’ and ‘Home’ to proceed to the next page. – Select the ‘Assessment Year’ and ‘Assessing Officer’. – Select ‘Category of Assessed’. – Select ‘Summary Assessment’, if you have not yet filed your income tax return. – Select ‘Final Assessment’, if you have already filed your income tax return. – Select ‘TDS’ and click ‘Submit’. – Enter your PAN and select the correct Assessment Year. – Select the ‘Category of Assessed’ and ‘Summary Assessment’ or ‘Final Assessment’. – Select ‘TDS’ and click ‘Submit’. – Enter your address and Aadhaar number. – Select the TDS deduction. – Click ‘Submit’ and ‘Finish’.

5 Steps to Claim TDS from Income in India

You can claim TDS from your income if you are eligible for it. The steps to claim TDS from income are as follows:

– Register yourself with the Income Tax Department: You must register yourself with the Income Tax Department if you have been living outside India for more than 182 days in the last 12 months. You can do this by applying for a provisional registration on the department’s website.

– Get a TAN (Tax Deduction Account Number): You can only claim TDS if you have a TAN. You can apply for a TAN on the Income Tax department’s website.

– Claim TDS while filing your income tax return online: You can claim TDS while filing your income tax return online. You can also file a separate TDS claim form if you have received income from a non-resident company or trust or you have received income as a non-resident from an Indian source.

– File your income tax return: You must file your income tax return if you have been staying outside India for more than 182 days in the last 12 months. You will have to mention the amount of TDS that has been deducted from your income.

– Claim TDS after filing your income tax return: You can claim TDS after filing your income tax return in the following situations:

– You have earned income from a non-resident trust and you receive a Form No. 10 getting deducted. In this case, you can claim TDS at the time of filing your income tax return. You are an employee who is allowed to claim standard deduction while filing your income tax return. If you have received income from an employer who has deducted TDS, you can claim TDS at the time of filing your income tax return. You have earned income from a non-resident company and you receive a Form No. 16 getting deducted. In this case, you can claim TDS at the time of filing your income tax return.

Conclusion

Tax deduction at source (TDS) is an effective way to ensure that taxpayers do not evade taxes on their income. Taxpayers who are eligible for TDS can claim it as a deduction from their gross income when they file their tax returns. However, this does not mean that every taxpayer is eligible for TDS. To claim TDS on your income, you must fulfill certain conditions and roles. The taxpayers who are eligible for claiming TDS are taxpayers who have been staying outside India for 182 or more days in the last 12 months and they have been away from India for a continuous period of 365 or more days in the last 12 months; taxpayers who are employees of a company and have been sent on an assignment outside India for a period of less than 5 years; and certain taxpayers who earn income in India through trusts or non-profit organizations.

Read More:-

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• F.A.Q. (Frequently Asked Questions) Income Tax
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