1. What Is Form 24Q?
Form 24Q is the TDS return specifically for salary payments. Every employer who deducts TDS from employee salaries under Section 192 must file Form 24Q every quarter.
It contains:
- Employee salary details
- TDS deductions
- PAN details
- Proof of tax deposited
- Deductions under Chapter VI-A
- Exemptions under Section 10
The fourth quarter return (Q4) includes the full-year salary details and forms the basis for Form 16.
2. Who Needs to File TDS Returns for Salary?
Any employer:
If salary is paid and TDS is deducted → Form 24Q filing is compulsory.
3. Due Dates for Filing Form 24Q
| Quarter |
Period |
Due Date |
| Q1 |
Apr – Jun |
31 July |
| Q2 |
Jul – Sep |
31 October |
| Q3 |
Oct – Dec |
31 January |
| Q4 |
Jan – Mar |
31 May |
Q4 is the most important, as it includes complete salary details for the whole year.
4. Structure of Form 24Q
Form 24Q contains two annexures:
A. Annexure I (Quarterly Filing)
Filed every quarter
Contains:
- Employer details (TAN, PAN)
- Challan details
- Summary of employee TDS
- Amount paid and deducted
B. Annexure II (Only in Q4)
Filed only in Quarter 4
Contains complete employee-wise salary details, including:
- Gross salary
- Exempt allowances (Sec on 10)
- Deductions (80C, 80D, 80G etc.)
- Income from other sources (if declared)
- Total taxable income
- TDS computation under Section 192
This annexure is used to generate Form 16.
5. How TDS Returns for Salary Are Filed
Step 1: Deduct TDS
- Based on the employee’s annual income projection.
Step 2: Deposit TDS Using Challan ITNS 281
TDS must be deposited:
- 7th of next month (for all months except March)
- 30 April (for deductions in March)
Step 3: Prepare Form 24Q
Use:
- RPU (Return Preparation Utility) from NSDL/Protean
- FVU (File Validation Utility) to validate the file
Step 4: Upload the Return on TRACES
- Login to the TRACES portal
- Upload FVU file
- Wait for processing
Step 5: Issue Form 16
After Q4 filing and processing, download Part A & Part B of Form 16 from TRACES and give it to employees.
6. Penalties & Fees for Late Filing
1. Late Fee – Sec on 234E
₹200 per day of delay
(Maximum = TDS amount)
2. Penalty – Sec on 271H
₹10,000 – ₹1,00,000 for:
- Incorrect returns
- Non-filing beyond 1 year
3. Interest
- 1% per month for late deduction
- 1.5% per month for late deposit
7. Common Mistakes in Form 24Q
- Wrong PAN of employees
- Not updating employee declarations
- Missing allowances/exemptions
- Salary breakup errors in Q4
- Challan mismatch
- Incorrect Sec on 192 calculation
These may cause:
- Form 16 issues
- Mismatch in Form 26AS
- The deductee’s credit is not being reflected
8. Importance of Filing Form 24Q Correctly
Correct filing ensures:
- Proper issuance of Form 16
- Correct reflection of TDS in the employee’s Form 26AS
- No notices from the Income Tax Department
- Smooth tax return filing for employees
9. Documents Needed for Filing TDS Return for Salary
- Employer PAN & TAN
- Employee PAN details
- Salary register
- Investment declarations & proofs
- Rent receipts/other exemptions
- Challan (ITNS 281) details
- Digital signature (if required)
Conclusion
TDS returns for salary via Form 24Q are a crucial statutory requirement for employers. Proper quarterly filing, especially Q4 with full salary details, is essential for issuing accurate Form 16 and ensuring smooth tax compliance for both the employer and the employees.
Taxcellent assists you in filing the TDS return in relation to TDS deducted on salary as well as non-salary.
