Taxpayers need to know multiple details to file TDS and GST returns effectively. Though the filing procedure for the respective taxes begins on the government’s official portal, detailed information about the prerequisites, process, required documents, and other legal obligations makes it smoother and easier. The GST-registered businesses file GST returns, while any specified person making payments under the Income Tax Act needs to deduct TDS (Tax Deducted at Source). Learn about the key aspects of filing TDS and GST returns so that you can meet the compliance effectively and in a time-bound manner.
Key Aspects of Filing TDS Returns
The concept of TDS aims to help the government in establishing a transparent taxation system and collect tax from the very source of income. As per the legal norms, a buyer/employer (deductor) is liable to make the payment of a specified nature to a seller/employee (deductee) shall deduct tax at the source. The deducted TDS is to be remitted to the Central Government, and later the deductee is eligible to get credit of the amount deducted based on Form 26AS or TDS/TCS Returns certificate issued by the deductor.
What are the TDS Rates for Tax Deduction?
These TDS rates apply to resident Indians
| Particulars | TDS Rates (in %) |
| Payment of Salary u/s 192 | Applicable as per the normal slab rate |
| Payment of the accumulated balance (taxable in the hands of the employee) of PF u/s 192A | 10 |
| Interest on securities u/s 193 | 10 |
| Income by way of dividend u/s 194 | 10 |
| Interest other than “interest on securities” u/s 194A | 10 |
| Insurance commission u/s 194D | 5 |
| Income from winnings from lotteries, crossword puzzles, card games, gambling, or betting of any form or nature u/s 194B | 30 |
| From winnings of any online game u/s 194BA | 30 |
| From the way of winnings from horse races u/s 194BB | 30 |
| U/s 194EE, payment in deposit to NPS | 10 |
| U/s 194-I,
A. Rent on plant and machinery B. Rent Land or building or furniture, or fittings |
A. 2 B. 10 |
| Payment on transfer of certain immovable property other than agricultural land u/s 194-IA | 1 |
| Payment of compensation on acquisition of certain immovable property, Section 194LA | 10 |
| Payment for purchase of goods of the aggregate value exceeding Rs 50 lakhs u/s 194Q
(TDS is deductible on the sum exceeding Rs 50 lakhs) |
0.1 |
| Section 194T, payment of sum as salary, remuneration, commission, bonus, or interest to a partner of the firm (effective from 01-04-2025). No TDS is sum does not exceed Rs 20k during a FY | 10 |
Due Dates to file TDS
In a financial year, the eligible parties need to file TDS returns quarterly, or 4 times a year. The following are the due dates; missing these important dates will result in negative consequences
- Quarter 1- 31st July
- Quarter 2- 31st of October
- Quarter 3- 31st of Jan
- Quarter 4- 31st of May
What do you need to upload TDS Returns?
Taxpayers must possess a TAN for uploading TAN returns, while PAN must be linked with Aadhaar
- A valid TAN number
- Must use Return Preparation Utility (RPU) for TDS preparation and File Validation Utility (FVU) for validation of the TDS statement
- To upload the TDS return using EVC, link PAN with a valid Aadhaar
- Also, provide the bank account or the demat account details
- DSC is required for e-filing of TDS Returns
Knowing the applicable TDS rates, due dates to file the returns, and document requirements enables taxpayers to file the TDS returns effectively.
Key Aspects of Filing GST Returns Effectively
The businesses who has acquired GST registration are obligated to file returns based on their eligibility. As it is a destination-based tax means that the state where the goods or services or both are consumed will impose taxes. Before filing your GST returns, it is important that you know about the crucial key aspects of filing GST returns effectively, so that it becomes easier for you.
Opt for GST Registration
Whether you are a service provider or a goods supplier, or both, just get registered under the Goods and Services Tax mechanism. If the annual turnover is over Rs 40 lakhs in the case of supply of goods and Rs 20 lakhs in the case of supply of services, businesses must get registered. The threshold limit in North Eastern Estates and Himachal is comparatively lower and half in size.
What are the GST Rates for Your Business?
As the goods and services have different kinds and categories, so as the rates under the GST. The common rates in India for various goods and services are divided into four slabs: 5%, 12%, 18%, and 28%. Most essential goods like food and dairy products are either not taxed or taxed at the basic rate of 5%, while the luxury items like cars, motorcycles, and consumer durables are taxed at the rate of 28%.
| Goods/Services | Tax Rates in 2025 (%) |
| Edibles like milk, eggs, curd, lassi, unpacked foodgrains, fresh vegetables, etc. | 0 |
| Edibles like sugar, tea, packed paneer, edible oils, raisins, cashew nuts, spices, and fabric, and life-saving drugs | 5 |
| Butter, Ghee, computers, processed food, almonds, mobiles, etc. | 12 |
| Hai oil, capital goods, toothpaste, soap, ice-cream, pasta, toiletries, soups, computers, printers, etc. | 18 |
| Luxury & sin items like cigarettes, consumer durables like ACs, fridges, small cars, and high-end motorcycles | 28 |
Understanding HSN and SAC System
HSN and SAC system is one of the two most important key aspects of GST, and supplier of goods and services must know about this factor.
The HSN code, or briefly “Harmonized System of Nomenclature,” is an eight-digit code used to systematically name and categorise goods for taxation and trade purposes. It serves as a unique identifier for over 5000 commodity groups, efficiently categorising goods systematically. HSN codes reduce trade transaction errors with uniform classification of goods across different countries. Under GST, businesses must maintain HSN code in their invoices and returns fr proper classifications. The SAC or Service Accounting Code is a unique six-digit code used for classification purposes of services under the GST regime in India. These codes assist in identifying and categorising services for tax purposes.
What Return are you suitable for under GST?
There are various returns under the GST, and based on your eligibility, you need to file the returns. If you are a composition scheme taxpayer under the GST, then you need to file your returns in GST CMP 08 quarterly, and for the QRMP scheme, you need to file both GSTR 1 and GSTR 3B quarterly. The QRMP scheme requires businesses are liable to pay taxes monthly so that they can eliminate the burden of paying it in one go with a huge lump sum amount. Get started with TaxDunia to know detailed requirements and make the filing procedure much easier. Let the professionals assist in filing and grow with expert guidance and comprehensive support.
