TDS Return Filing (24Q) - Overview
📌 TL;DR - TDS Return Filing (24Q) Services at a Glance
Employers file Form 24Q quarterly for salary TDS under Section 192. Annexure I all quarters; Annexure II Q4 only with full salary breakup. Deposit by 7th, return by 31 Jul/Oct/Jan/May. Late fee Rs 200/day (Section 234E). Form 16 via TRACES by 15 June. CA-assisted from Rs 1,999/quarter.
| Parameter | Details |
|---|---|
| What is Form 24Q | Quarterly TDS return for salary payments under Section 192 of Income Tax Act |
| Governing Law | Section 192 (TDS), Section 200(3) (Return Filing), Section 203 (Form 16) |
| Filing Frequency | Quarterly - Q1 (Apr-Jun), Q2 (Jul-Sep), Q3 (Oct-Dec), Q4 (Jan-Mar) |
| Due Dates | Q1: 31 Jul, Q2: 31 Oct, Q3: 31 Jan, Q4: 31 May |
| Late Fee (Section 234E) | Rs 200/day, capped at total TDS amount for the quarter |
| Penalty (Section 271H) | Rs 10,000 to Rs 1,00,000 for non-filing within 1 year |
| Patron Fee | Starting Rs 1,999/quarter for 24Q filing and Form 16 |
What Is TDS Return Filing (Form 24Q)?
Form 24Q is a quarterly TDS return filed by employers to report salary paid, TDS deducted under Section 192, and tax deposited, enabling employees to receive TDS credit in Form 26AS and Form 16.
It contains Annexure I (all 4 quarters - deductor details, challan details, deductee summary) and Annexure II (Q4 only - complete salary breakup, Section 10 exemptions, Chapter VI-A deductions, tax computation per employee).
Filing is done via the e-filing portal after validation through the FVU utility. Form 16 is generated from TRACES after all four quarters are filed.
Key Terms for TDS Return Filing (24Q):
Annexure I - Filed all 4 quarters. Deductor details (TAN, PAN), challan details (BSR code, date, amount), and deductee summary.
Annexure II - Q4 only. Full salary breakup: gross salary, exemptions, Chapter VI-A deductions, tax computation, and regime choice per employee.
TRACES - TDS Reconciliation Analysis and Correction Enabling System at tdscpc.gov.in. Portal for Form 16 download, defaults, and corrections.
2026 Renumbering - Form 24Q becomes Form 138, Form 16 becomes Form 130, Form 26AS becomes Form 168 under Income Tax Act, 2025.
Who Must File Form 24Q?
- Companies: Private Limited, Public Limited, and One Person Companies deducting TDS from employee salaries
- LLPs and Partnership Firms: Firms paying salary to employees (not partner remuneration - that is under Section 194N/192)
- Proprietorships: Sole proprietors with employees drawing salary above the basic exemption limit
- Trusts and NGOs: Trusts, societies, and Section 8 companies with salaried employees
- Government Departments: Central and state government offices deducting TDS
Key: TAN registration is mandatory. No TDS deduction needed if employee income falls below basic exemption limit after all deductions and exemptions. PAN-Aadhaar linking mandatory - non-linking triggers 20% TDS rate under Section 206AA.
Our TDS Return Filing Services
| Service | What We Do |
|---|---|
| Monthly TDS Computation | Salary-wise calculation considering tax regime (old/new), Section 10 exemptions, Chapter VI-A deductions, and Form 12B for mid-year joiners |
| Quarterly 24Q Filing | RPU preparation, FVU validation, e-filing portal upload with DSC on incometax.gov.in |
| Form 16 Generation | TRACES Part A download + Part B preparation, distributed to employees by 15 June |
| TDS Challan Management | Monthly ITNS-281 preparation, deposit tracking by 7th, BSR code reconciliation with bank statements |
| Correction Statements | PAN errors, challan mismatches, amount discrepancies corrected via TRACES within 2-year CBDT window |
| TRACES Default Resolution | Short deduction, short payment, late filing defaults identified and resolved proactively |
How to File Form 24Q - Step by Step
Complete process for quarterly TDS return filing including Annexure I/II, FVU validation, e-filing, and Form 16 generation via TRACES.
Compile Salary Data and Verify PANs
Compile monthly salary data for the quarter. Verify all employee PANs and PAN-Aadhaar linking status. Non-linking triggers 20% TDS rate instead of applicable slab rate under Section 206AA.
Reconcile TDS Challans
Match challan details - BSR code, serial number, deposit date, and amount against bank statements. TDS must be deposited by the 7th of the following month via ITNS-281.
Prepare in RPU with Annexure I/II
Enter data in Return Preparation Utility (RPU) - deductor, challan, and deductee details. For Q4, complete Annexure II with full salary breakup, exemptions, Chapter VI-A deductions, and tax computation per employee.
Validate via FVU
Run File Validation Utility (FVU) to check for errors - PAN validation, challan matching, computation accuracy. Fix all errors and generate the validated .fvu file for upload.
Upload on E-Filing Portal
Log in to incometax.gov.in with TAN. Navigate to TDS returns section. Upload the validated .fvu file with Digital Signature Certificate (DSC). Download provisional receipt.
Generate and Issue Form 16
After all 4 quarters are filed, download Form 16 Part A from TRACES portal. Prepare Part B with salary breakup from Annexure II data. Issue complete Form 16 to all employees by 15 June.
Documents Required for 24Q Filing
- TAN of the deductor (employer)
- Employee PANs (Aadhaar-linked mandatory)
- Salary registers with monthly breakup for the quarter
- Investment declarations and proof submitted by employees
- Tax regime elections (old or new) from each employee
- TDS challans (ITNS-281) with BSR code and deposit date
- Previous quarter acknowledgement (for continuation)
- Form 12B from mid-year joiners (previous employer TDS details)
- DSC of the authorised signatory
- TRACES login credentials
Common 24Q Filing Challenges and Solutions
| Challenge | Impact | How Patron Accounting Solves It |
|---|---|---|
| PAN-Aadhaar Not Linked | Non-linked PANs trigger 20% TDS rate instead of applicable slab, causing excess deduction from employee salary | Send PAN-Aadhaar linking reminders before FY start. Deduct at 20% for non-linked PANs per Section 206AA. Refund via ITR. |
| Challan Mismatch | BSR code, date, or amount mismatch causes TRACES short payment defaults and blocks Form 16 generation | Monthly challan reconciliation against bank statements. File correction via TRACES for any mismatches immediately. |
| Annexure II Complexity (Q4) | Multiple tax regimes, mid-year joiners with Form 12B, and complex deductions make Q4 the most error-prone quarter | Collect Form 12B. Confirm regime choice in writing. Use payroll-integrated TDS software for accurate Annexure II. |
| TDS Credit Missing in Form 26AS | Employee TDS not appearing in their Form 26AS, causing ITR filing issues | Verify PAN in 24Q is correct. Check TRACES processing status. File correction statement if PAN was entered incorrectly. |
TDS Return Filing Fees
| Fee Component | Amount |
|---|---|
| Quarterly 24Q (Up to 25 Employees) | Starting from INR 1,999/quarter |
| Quarterly 24Q (26-100 Employees) | Rs 3,999/quarter |
| Quarterly 24Q (100+ Employees) | Rs 7,999/quarter |
| Form 16 Generation | Rs 999 (included in annual package) |
| TDS Correction Statement | Rs 1,499 per correction |
| Annual Package (4 Quarters + Form 16 + TRACES) | Rs 6,999/year (up to 25 employees) |
All fees and charges listed are indicative only and do not constitute a binding offer. Final amounts may vary depending on the volume of work and the complexity involved.
Professional service charges for drafting, filing, and representation are separate from the statutory fees. The exact fee depends on the complexity of the case, disputed amount, and number of hearings required. Contact us for a detailed quote.
Get a free TDS Return Filing (24Q) consultation - Call +91 945 945 6700 or WhatsApp us. No-obligation assessment.
TDS Return Due Dates - FY 2025-26
| Stage | Estimated Timeline |
|---|---|
| Q1 (Apr-Jun 2025) | 24Q by 31 Jul 2025 | TDS by 7th monthly |
| Q2 (Jul-Sep 2025) | 24Q by 31 Oct 2025 | TDS by 7th monthly |
| Q3 (Oct-Dec 2025) | 24Q by 31 Jan 2026 | TDS by 7th monthly |
| Q4 (Jan-Mar 2026) | 24Q by 31 May 2026 | TDS by 7th (March: 30/31 Mar) |
| Form 16 Issuance | By 15 June 2026 | Our turnaround: by 10 June |
| Correction Window | Within 2 years of FY end (CBDT restriction) |
Critical: Section 234E fee of Rs 200/day is automatic and non-waivable - cannot file return without paying. CBDT restricted correction statements to 2 years from FY end. FY 2023-24 corrections must be filed by 31 March 2026. Q4 Annexure II is the most complex - start preparation by 1 April.
Benefits of Professional TDS Return Filing
Accurate Monthly TDS
Slab-based TDS computation monthly considering old/new regime, exemptions, Chapter VI-A deductions, and mid-year joiner Form 12B data
Zero Section 234E Fees
Returns filed before every quarterly deadline, eliminating Rs 200/day late fee that compounds quickly and cannot be waived
Error-Free Annexure II
Q4 Annexure II with complete salary breakup across all regimes and deduction categories for seamless Form 16 generation
TRACES Default Resolution
Short deduction, short payment, and late filing defaults identified and resolved proactively before they escalate
Timely Form 16 by June 15
Bulk TRACES Part A download + comprehensive Part B preparation. Form 16 issued to all employees by 10 June - 5 days before deadline.
Why Employers Trust Patron Accounting for 24Q
600+ employers managed across all industries. 15,000+ Form 16s generated in FY 2025-26. 100% on-time filing rate across all quarterly deadlines. 4.8/5 Google rating from 200+ verified reviews. Offices in Pune, Mumbai, Delhi, and Gurugram.
TDS Return Forms Comparison
| Form | Purpose | Payment Type | Certificate |
|---|---|---|---|
| 24Q (138 from Apr 2026) | TDS on salary | Section 192 | Form 16 (130) |
| 26Q | TDS non-salary domestic | Rent, professional fees, interest | Form 16A (131) |
| 27Q | TDS on NRI payments | Section 195 | Form 16A |
| 27EQ | TCS collection | Tax Collected at Source | Form 27D |
Related Payroll and Compliance Services
- Payroll Processing - Monthly salary computation with integrated TDS
- TDS Return Filing (26Q) - Non-salary TDS on rent, professional fees, interest
- Income Tax Return - ITR filing for employees and employers
- PT Returns - State-wise Professional Tax compliance
- ESI and PF - Monthly statutory compliance
Legal Framework for TDS Return Filing
| Provision | Key Requirement |
|---|---|
| Section 192 | TDS on salary at applicable slab rates after exemptions and deductions. Old and new regime options. |
| Section 200(3) | Quarterly return filing mandatory for all deductors. 24Q for salary, 26Q for non-salary. |
| Section 203 | Form 16 within 15 days of Q4 due date. Non-issuance: Rs 100/day under Section 272A(2)(g). |
| Section 234E | Rs 200/day late fee, capped at TDS amount. Automatic. Cannot file without paying. |
| Section 271H | Rs 10,000-1,00,000 penalty for non-filing within 1 year or incorrect details. Waived if conditions met. |
| Section 201(1A) | Interest: 1% per month (non-deduction), 1.5% per month (non-deposit). |
2026 Renumbering: Form 24Q becomes Form 138, Form 16 becomes Form 130, Form 26AS becomes Form 168 under Income Tax Act, 2025 (effective 1 April 2026). Structure unchanged.
Frequently Asked Questions - TDS Return (24Q)
Expert answers about Form 24Q, Annexure I/II, Form 16 generation, Section 234E penalty, and 2026 changes.
Quick Answers
What is Form 24Q? Quarterly TDS return for salary under Section 192 with Annexure I (all quarters) and Annexure II (Q4 only).
Late fee? Rs 200/day (Section 234E) capped at TDS amount. Penalty Rs 10,000-1,00,000 (Section 271H) if over 1 year late.
When is Form 16 due? 15 June (15 days after Q4 filing deadline of 31 May).
Is nil return required? Not mandatory for Q1-Q3 if no TDS deducted. Q4 recommended for clean TRACES record and Form 16 generation.
File Your TDS Returns Before Penalties Hit
Section 234E fee of Rs 200/day is automatic and non-waivable. CBDT restricted corrections to 2 years from FY end - FY 2023-24 corrections must be filed by 31 March 2026. Missing Q4 by 50 days means Rs 10,000 in fees (capped at TDS amount). Employee Form 26AS credit depends on your accurate and timely 24Q filing.
Act now. Call +91 945 945 6700 or WhatsApp us for a free TDS compliance assessment.
Never Miss a TDS Deadline Again
TDS return filing via Form 24Q is a quarterly obligation directly impacting employee ITR filing. Accurate Annexure II in Q4 is the foundation for correct Form 16 via TRACES. Section 234E and Section 271H penalties, plus Section 201(1A) interest, make timely filing essential.
Patron Accounting manages 24Q for 600+ employers with 15,000+ Form 16s generated. From Rs 1,999/quarter. Offices in Pune, Mumbai, Delhi, and Gurugram.
Book a Free Consultation - No Obligation.
TDS Return Filing Services Across India
Patron Accounting files 24Q and generates Form 16 for employers in major cities.
TDS Return Filing by City
24Q + Form 16 + TRACES compliance
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Content Created: March 2026 | Last Updated: | Next Review: June 2026 | Reviewed By: CA & CS Team, Patron Accounting LLP
This page is reviewed quarterly - aligned to CBDT notifications, TDS rate changes, RPU/FVU updates, and TRACES portal changes. Next review: June 2026.
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