Welcome to Clinic on Inconsistency in eTDS Statement

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Welcome to Clinic on Inconsistency in eTDS
Statement
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• Directorate of Income Tax (Systems) has sent
  letters to deductors giving the details of
  Inconsistencies in the TDS/TCS return filed.
• The details pertain to the first three quarters
  of F.Y. 2006-07.

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• The following slides explains
• The possible problems in your TDS return,
• How to rectify them and
• How to avoid such Inconsistencies in future

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What is Inconsistency ?

• The inconsistency is between the details
  submitted by you in eTDS statements and details
  submitted by banks.
• This may or may not be because of wrong details
  furnished by you. It can also happen for several
  other reasons.

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How are Inconsistencies identified?

• First, the details regarding deposit of TDS/TCS
  made by you is compared with the data given by
  banks. Challan Identification Number (CIN), TAN
  and TDS amount as given in your TDS return is
  compared with the corresponding details given in
  the challan details provided by the bank.
• Once these are matched, the PAN ledger of each
  deductee is credited with the TDS/TCS as provided
  in your return provided the PANs of the deductees
  have been given by you in the return.
• Feedback is given to the deductor where challans
  in the statement are not matched.

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Kinds of inconsistency status provided in the
Inconsistency letter
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How to read the Inconsistency letter
PRN uploaded by the TIN center
Quarter for which the PRN Pertains
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Form No Deductee records
Form no in which inconsistency has been found
No.of deductee records found in the statement
filed by you
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Count of PAN
If you have mentioned PANNOTAVBL, PANAPPLIED,
PANINVALID in eTDS Statement
Deductee PAN entered by you in the statement is
not present in the ITD Database
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Challan in the statement
Count of challans mentioned in the eTDS statement
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Result of Challan Matching
Matched When all the CIN details in the TDS
return match with the OLTAS details.
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Result of Challan Matching
Match Failed Amount does not match, different
TAN in challan and statement, amount and TAN
mismatch
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Match Pending CIN mentioned in statement not
received from the bank or the CIN uploaded by the
bank is different than the CIN issued to the
deductor.
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Impact of these Inconsistencies

• No posting of TDS amount in the PAN ledger
• Deductee will have difficulty in proving the TDS
  claimed by him in his income tax return
• If challans claimed in the TDS returns could not
  be matched completely with the data given by the
  banks, you may have difficulty in proving to your
  TDS assessing officer that you have actually
  deposited the TDS deducted by you.

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How to rectify these Inconsistencies

• If you have made any mistakes in your TDS/TCS
  returns you can rectify them by filing a
  correction statement. Procedure for preparation
  and filing of return is available in TIN website.
• If bank has made any mistake
• In the amount or name or major head code given by
  them against your CIN, they can rectify them
• In TAN or CIN you will have to contact your TDS
  Assessing Officers
• If bank has not uploaded your challan, then you
  may request the bank to upload the same.

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Action to be taken by the deductor
Challan Status Error in Statement Error in Challan details uploaded by the Bank / Incorrect TAN provided by deductor in challan Action to be taken by deductor w.r.t challan details
Challan fully Matched No No No action
Match failed (Amount does not match) Yes No File correction statement
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Match failed (Amount does not match) No Yes Contact Bank
Match Failed (Different TAN in challan statement) Yes No File Correction Statement
Match Failed (Different TAN in challan statement) No Yes Contact Assessing Officer
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Match Failed (Amount TAN Mismatch Yes No File Correction Statement
Match Failed (Amount TAN Mismatch No Yes Contact Assessing Officer for TAN and Bank for Amount
Match pending (CIN in statement not found in bank data) Yes No File correction statement
Match Pending No Yes Contact Assessing Officer
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How can I prevent these Inconsistencies in my
future returns

• The deductor should use the same TAN to deposit
  tax in the bank and to prepare the TDS/TCS
  statement.
• In case the deductor has multiple TANs, only one
  TAN should be used consistently, the other TANs
  should be surrendered to ITD.
• The deductor details, i.e TAN, Name, Address of
  deductor should be correctly stated in the
  statement filed.

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• Challan details (BSR code seven digits, challan
  serial number upto five digits, date of tender)
  mentioned in the statement should be same as
  those stamped by the bank on the challan
  counterfoil.
• Verify the challan details from TIN website
• (www.tin-nsdl.com) before filing the
  statement to prevent errors.
• The Challan amount mentioned in the statement
  should be same as the total amount deposited in
  the bank.
• Valid 10-digit PAN of deductee should be provided

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Views for deductor on the NSDL TIN Website
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Challan Status Enquiry

• Challan Status Enquiry displays the details pf
  challan deposited in the bank. There are two
  types of views CIN based view and TAN based
  view.
• CIN based view Details of any particular challan
  can be viewed
• TAN based view Details of all challans deposited
  in the banks for a given TAN during a specified
  period can be viewed.

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Quarterly Statement Status

• Quarterly Statement Status displays status of the
  quarterly statement submitted by the deductor.
  The deductor can also check the status of the
  challans as well as the count of valid PANs in
  the statement

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Status of TCS/TDS Statements
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Status of TCS/TDS Challan Annexure