A Detailed Guide on Form 27A

The concept of Form 27A must be familiar if you work for a company. Employers fill out this form with details about the TDS deducted for a particular financial and assessment year. Eventually, this form becomes a part of the quarterly TDS return filed by the employer. This should be done properly and on time to stay on the right side of the regulations. If you want to know everything about Form 27A, this topic will be covered in detail in this article.

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Table of content

What is Form 27A?

Purpose of Form 27A

Who Needs to File Form 27A

Steps to Fill Form 27A Income Tax

Steps to Download Form 27A from TRACES

Steps to File Form 27A TDS Return

TDS and TCS Return Due Dates

Penalties for Not Submitting Form 27A on Time

Conclusion

Most Asked Questions

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What is Form 27A?

Form 27A, which includes the statement of deduction or collection of tax at source, is essentially a summary of the e-TDS or TCS return. The form has information about the total amount paid, tax deposited, and income tax deducted at the source. In addition to carefully filling it out and signing it, the deductor must return it to the closest TIN facilitation centre. This form is also easily accessible on the Income Tax Department's website, where you can download it without any difficulties.

Purpose of Form 27A

Form 27A functions similarly to a summary sheet for the taxes that employers withhold from employee payments. It gives the tax department a clear picture of the amount deducted from tax payments. Important information such as the total amount of taxes withheld, the identity of the deductor, and other details required for tax assessment in this form. Tax authorities can quickly verify everything is correct and comprehensive by requiring this form with the TDS returns. In essence, it's a means of ensuring that the proper amount of taxes is collected and everyone abides by the tax laws. All things considered, Form 27A is essential to maintaining the fairness and transparency of the tax system.

Who Needs to File Form 27A

The IT Department must receive employers' quarterly TDS return statements electronically. Along with other required forms and documentation, they must file Form 27A, a summary of the TDS. Employers must notify the Income Tax Department quarterly when they deduct taxes from their workers' salaries or TDS. They accomplish this by electronically submitting a variety of documents and forms. Form 27A is a crucial document providing a summary of the TDS data.

Other forms that provide the quarterly TDS returns include the 24Q and 27Q. These documents show the exact amount of money withheld from salaries and paid in taxes to the government. Every TDS return filed every quarter must include Form 27A. It must be sent in hard copy after being printed and signed by an authorised individual. Electronically, forms such as 24Q and 26Q are submitted. Form 27B, also physically submitted, is used by the employer to compile the information on taxes collected at the source.

Steps to Fill Form 27A Income Tax

The deductor must take into account a few guidelines when submitting Form 27A. Take a glance at this:

• Do not overwrite or strike anything when submitting this form.

• Create the form using the File Validation Utility (FVU) and make modifications if you discover any striking or overwriting.

• Always verify the deductor's name and TAN when submitting this form. Additionally, confirm that the income tax deducted at source and the control totals of the amount paid in Form 27A correspond to the totals in the TCS or e-TDS return file.

• The responsible authority must properly sign the form after you have filled out all the fields.

Steps to Download Form 27A from TRACES

Form 27A is not technically available for download from the TDS TRACES website. This form is automatically generated in PDF format from the deductor's TRACES profile following the creation of the TDS/TCS return's FVU (File Validation Utility) file. Once the relevant authorities have completed the form, the collector or deductor is expected to sign it. After that, the form has to be physically delivered to the closest TIN Facilitation Centre.

Steps to File Form 27A TDS Return

Here is a detailed guide to help you file your Form 27A TDS return online. There are no intricate steps involved in this process. All you have to do is adhere to the following instructions:

Step 1: Accurately complete Form 27A's required fields, including the total amount paid and the tax withheld at source. If you are filing this form in hard copy, you must compare all the information with the electronically filed e-TDS return.  

Step 2: Ensure you accurately include the organisation's TAN on the form. Inaccurate TAN data makes this verification process very challenging.

Step 3: Include the challan number, payment method, and other tax-related information on the TDS return. You will have to go through the trouble of filing the TDS return again if you enter incorrect information.

Step 4: Then, at the TIN facilitation centre closest to you, turn in the actual TDS return. NSDL oversees these centres. You must submit your TDS return via the NSDL TIN official portal.  

Step 5: It is also crucial that the deductor or collector needs to use a digital signature in the previously stated situation.

Step 6: You will get a provisional invoice or token number if the submission is successful and accurate. When a TDS return is filed, this number serves as confirmation.

Step 7: If the TDS return is denied, you will get a non-acceptance memo with a valid explanation for the decision. 

TDS and TCS Return Due Dates

The Income Tax Act of 1961's Section 200 states that the tax deductor must deposit the TDS to the government within a time frame. The deadline for submitting the TDS return for FY 2024–2025 is illustrated in the table below:

Quarter	Quarter Period	Ending of Quarter	Due Date
Q1	April - June	30 June	31 July 2024
Q2	July - September	30 September	31 Oct 2024
Q3	October - December	31 December	31 Jan 2025
Q4	January - March	31 March	31 May 2025

The following table mentions the due dates for filing the TCS return in the financial year 2024-25:

Quarter	Period of Quarter	Ending of Quarter	Due Date
Q1	April - June	30 June	15 July 2024
Q2	July - September	30 September	15 Oct 2024
Q3	October - December	31 December	15 Jan 2025
Q4	January - March	31 March	15th May 2025

Penalties will apply if you file your TDS or TCS return after any delay.

Penalties for Not Submitting Form 27A on Time

Yes, late submission of Form 27A has penalties. A summary of TDS/TCS returns, Form 27A, needs to be sent to the Indian Income Tax Department. If you don't turn in this form by the deadline, the following sanctions could be imposed.

Late Filing Charge: A late filing cost of Rs. 200 per day is imposed under Section 234E until the form is filed, subject to the entire amount of TDS.

Penalty for Non-Filing: Section 271H stipulates that a penalty of Rs. 10,000 to Rs. 1,00,000 may be applied if the delay exceeds a year or the form contains inaccurate information.

Interest on Late Payment: Under Section 201(1A), interest may apply on the amount of tax removed but not deposited.

Thus, it is essential to submit Form 27A on time to prevent these monetary fines and guarantee adherence to tax laws.

Conclusion

Form 27A is a verification document that deductors and collectors file with their quarterly TDS/TCS statements. It guarantees correct data entry and appropriate tax benefits for the taxpayers. Compliance with Indian income tax laws requires that Form 27A be filled out accurately and submitted with the statements.

FAQ

Q1. What is Form 27A?

In addition to quarterly statements, deductors and collectors must file Form No. 27A, a control chart of quarterly e-TDS/TCS statements, on paper. 'Amount paid' and 'income tax deducted at source' control totals are included in these TDS/TCS returns. The related control totals in the e-TDS/TCS return should match the control totals for "amount paid" and "income tax deducted at source" listed on Form No. 27A. Form No. 27A must be filled separately for every e-TDS/TCS return.

Q2. Who should sign the Form 27A?

Form 27A is the TDS/TCS statement summary. Signing it requires the signature of the appropriate authorised individual.

Q3. What precautions should be taken while filing Form 27A?

When submitting Form 27A, make sure that:

1. TDS/TCS FVU (File Validation Utility) creates Form 27A. (Starting on February 1, 2014).

2. Form No. 27A does not have any overwriting or striking. If so, kindly edit the file as needed, validate it, and use the File Validation Utility (FVU) to create a new Form 27A.

3. The e-TDS/TCS return's corresponding totals should match the deductor's name and TAN, and the control totals of "amount paid" and "income tax deducted at source" listed on Form No. 27A.

4. Every field on Form No. 27A has been correctly filled out. The responsible party is required to sign Form 27A.

Q4. What is the difference between Form 27A and 27B?

Every quarter, Form 27A must be filed with every TDS return. It is printed, signed by a designated individual, and dispatched in hard copy. You submit forms like 24Q and 26Q online. Employers who collect taxes at the source summarise the information on Form 27B, which is also physically submitted.