How to Check TDS Status by PAN Card? Step by Step Process

TDS, or Tax Deducted at Source, is a significant financial transaction that affects an individual’s tax payment structure. Additionally, TDS is a crucial source of income for the government. Therefore, whether one is a salaried individual or self-employed, everyone must contribute a portion of their income as TDS.

However, as taxpayers, how do you know if TDS has been deducted or not, and when can you claim a return? This article provides a comprehensive guide on how to check the status of TDS using a PAN card and other methods.

What is TDS?

Tax Deducted at Source (TDS) is a mechanism where a specified percentage of tax is deducted at the time a payment is made, such as salaries, interest, or rent. It aims to collect tax at the source of income generation, ensuring a steady inflow of revenue to the government and reducing tax evasion. The deducted tax is then remitted to the government by the payer on behalf of the recipient.

Steps to Check TDS Status Online by PAN Card

To check your TDS status online using a PAN card, follow these steps:

1. Visit the TRACES Website: Go to the official TDS Reconciliation Analysis and Correction Enabling System (TRACES) website at tdscpc.gov.in.
2. Login/Register: If you are a new user, register using your PAN details. Existing users can log in with their credentials.
3. Navigate to the TDS Section: Once logged in, click on the “View Tax Credit (Form 26AS)” link.
4. Choose Assessment Year: Select the relevant assessment year for which you want to check the TDS status.
5. View Form 26AS: You can view/download Form 26AS, which shows the TDS deducted and deposited against your PAN by various deductors.
6. Verify Details: Cross-check the entries in Form 26AS with your records to ensure accuracy.

These steps will help you monitor and verify the TDS deducted and credited to your account.

Also read: Union Budget 2024: What is the New Income Tax Slab?

How to Check TDS Status Through E-Filling Website?

To check your TDS status through the Income Tax e-Filing website, follow these steps:

1. Visit the e-Filing Portal: Go to the official Income Tax e-Filing website at incometax.gov.in.
2. Login/Register: Log in using your User ID (PAN), password, and the Captcha code. If you are a new user, register yourself by providing the necessary details.
3. Go to ‘My Account’: Once logged in, navigate to the “My Account” section from the dashboard.
4. Click on ‘View Form 26AS (Tax Credit)’: Under the “My Account” menu, click on the “View Form 26AS (Tax Credit)” link.
5. Agree to Terms and Conditions: You will be redirected to the TRACES website. Agree to the terms and conditions by checking the box and clicking on “Proceed.”
6. Select Assessment Year: Choose the assessment year for which you want to view your TDS details.
7. View Form 26AS: Select the format (HTML, PDF, or text) in which you want to view/download Form 26AS. You can now see your TDS details, including the amount deducted and deposited against your PAN.

These steps will help you access and verify your TDS details through the Income Tax e-Filing portal.

Why it is Important to Check TDS Status before Filling Income Tax Return?

It’s essential to check TDS (Tax Deducted at Source) before filing an Income Tax Return for several reasons:

1. Accuracy: Verifying TDS ensures that the tax deducted from your income matches the records maintained by the Income Tax Department. Any discrepancies can be corrected before filing your return.
2. Claiming Credits: Checking TDS allows you to claim credit for the tax already deducted from your income. This helps in avoiding double taxation and ensures that you only pay tax on the remaining taxable income.
3. Compliance: Reviewing TDS helps ensure compliance with tax laws. If TDS has been deducted but not deposited to the government, you can take appropriate steps to rectify the situation before filing your return.
4. Avoiding Penalties: If there are discrepancies in TDS and you file your return without rectifying them, you may face penalties or scrutiny from the tax authorities. Checking TDS beforehand helps in avoiding such penalties.
5. Refunds: If excess TDS has been deducted, reviewing it before filing your return allows you to claim a refund for the excess amount. This ensures that you receive the correct amount of refund in a timely manner.

In summary, checking TDS before filing your Income Tax Return ensures accuracy, compliance with tax laws, and maximization of tax credits and refunds, ultimately leading to a smoother and hassle-free tax filing process.