Provisions relating to TDS. - Income Tax - 1234/CBDT

INSTRUCTION NO. 1234/CBDT Dated : January 30, 1979 As you are aware the collections from TDS form a significant part of the total annual collections of income tax and corporation-tax. During the year 1977-78 the contributions from this source amounted to Rs.372 crores. Moreover as compared to other sources of collection i.e., advance-tax, self-assessment and regular assessment tax, the collections from this sources can be maximised by spending perhaps the least effort in terms of material and manpower resources of the department. It is, therefore, necessary to tap this source to the maximum extent possible for optimising tax collections. 2. The various issues connected with the manner of enforcing the provisions relating to TDS are briefly indicated in the Annexures. 3. You are requested to take urgent steps to ensure that the tax which is required to be deducted at source is properly deducted and necessary action is taken promptly in all cases of default in payment of TDS. 4. Vide Boards D.O. letter No.A11013/36/74-Ad.VII dated 9-6-75 separate ITOs for TDS from salaries were posted. The services of these officers may also be utilised to check up the returns and statements relating to TDS from payments other than salaries. The ITOs exercising jurisdiction over the cases of the persons responsible for deduction of tax at source may be requested to enforce the receipt of statutory statements for the deductions and also to ensure that the payments of TDS are being made by the deductors regularly. 5. You are requested to keep a control over the progress of this work through appropriate control statistics. The Board would also like to be informed of the results achieved in this important area of work. The action taken in this matter upto 28-2-79 may please be intimated to the Board by the 15th March, 1979 as per proforma given in the Annexure.