TDS return filing is mandatory by law in India. TDS is beneficial for both the government and taxpayers. The former enjoys a constant source of revenue from a broad taxpayer base with minimal tax evasions and the latter enjoy government services and is saved from the burden of payment and penalties for non-filing. Sometimes TDS return filing becomes a daunting task for employers and deductors, necessitating the need for an application to make accurate TDS online payments to the Income Tax department on time. This is where TDS e-payment software comes into play. It brings sanity into tax affairs. To learn the basics of TDS online filing and software, here’s a beginner's guide.
What is TDS filing and why is it important?
TDS filing is used by the Government to minimize tax evasion by taxing the income as and when it is generated rather than at a later date. TDS is collected from different sources of income including salaries, interest, commission, and dividends right when it is generated. However, it is not applicable to all earnings and transactions. The government has prescribed certain limits on taxable income. Only upon exceeding the limit, does the deductor need to deduct the tax and deposit it to the government. The TDS rate is notified by the Income Tax Department of the Government of India.
TDS filing is important because it provides the government with a stable source of income that is used for infrastructural development and public welfare and helps minimize the burden of paying for the deductee.
All TDS return filing software in India are designed in agreement with the rules and regulations of the Income Tax department of India. Usually, such TDS e payment and filing software are capable of generating all types of e-TDS and e-TCS return forms and printing certificates facilitating easy payment of TDS. Such software make a great tool for CAs, Tax consultants, and other professional in businesses processing e-TDS and e-TCS as they provide the following functionalities:
Handling of large volumes of data of multiple users suitable for use by government bodies, corporates, banking and insurance companies, and other businesses and individuals.
Recording, calculating, and processing of both TDS for salaries and TDS for other than salaries accounts.
Convenience and speed in processing e-TDS and e-TCS data.
When looking for a TDS e-payment software, check its compatibility with your OS and whether it supports import of data from multiple sources including OpenOffice, Excel, Access, and Tally ERP9 through a custom interface.
The utility of TDS e-payment software is multi-faceted. It allows for multiple user handling, automated and fast processing of TDS e-payment and returns filings, saves time and effort in TDS deductions and submissions, and ensures adherence to tax laws, making them useful for finance tools for businesses to remain tax compliant.
When it comes to choosing the right TDS e-payment software, contact one of the reputable brands in the IT industry, involved in the development of customized TDS return filing utility software that enables you to deal with TDS matters efficiently and avoid penalties and fines!
References
https://www.logictech.in/products/tdsplus-tds-tcs-software-editions.html