Wef 1.6.2006 ,Interest on Late deposit of tds must be deposit on self assessment basis by the person every quarter before furnishing the quarterly statements.
So party has taken a correct decision to deposit the interest on late deposit as it a mandatory to deposit interest on late deposit of tds before filing of etds return.
Now what should be done in etds Return.
In etds return (form 26 q)Two details are to be given
- Challan Detail
- Deductee Detail
In case of normal tds deposit,In challan detail and deductee detail both are required to be filled but In case where only Interest on late deposit of tds has been deposited then detail of deductee is not required as nothing is relates to the deductee so you should
- Fill challan detail only for interest amount along with other tds challan in challan details
- No need to fill any detail in deductee detail in respect of challan for interest Only.
If the TDS and interest is deposited in single challan ?
- Fill full amount in challan detail including interest amount.
- Fill deductee detail in respect of tds amount (gross deposit amount minus interest amount)