REGISTRATION AND OBTAINING TAX DEDUCTION ACCOUNT NUMBER (TAN)
Every person responsible for making deduction of tax under section 36A shall apply for Tax Deduction Account Number (T.A.N) 2[within seven days] from the date on which the tax was deducted or deductible in Form DVAT-44 and a Tax Deduction Account Number shall be issued in Form DVAT-45.
DEDUCTION & PAYMENT OF TAX
Applicable if contract value exceeds Rs.20000/-
- TDS Rate
- 4% for registered contractors
- 6% for unregistered contractors
- Due date for deposit of TDS: 15th of next month
- Mode of payment - e-payment is mandatory
- Certificate of Deduction of tax - DVAT 43 to be given to the deductee by 15th of next month
- Return in Form DVAT 48 to be submitted on quarterly basis
- Due date: 28 days from the end of the quarter
- Non Deduction or Non-payment - A sum not exceeding twice the amount so deductible or payable
- Simple interest from the date applicable to the actual date of compliance - 16% per annum
- Delay in furnishing TDS certificates - Rs.200/- per day
- DVAT 43 - Certificate of Deduction of Tax At Source Delhi Value Added Tax Act, 2004
- DVAT 48 - Form of Quarterly Return by the Contractee
Q. Is the WCT return filed online?
A. Yes, the WCT return (Form DVAT 48) is now required to be filed online.
Q. When is registration required for WCT under DVAT Act?
A. A person is required to obtain registration if he enters into a contract for more than Rs.20000/- on which he is required to deduct WCT.