Archive · 2 Jun 2025
Indian Industries Seek CBDT Relief on TDS Return Revisions
Big companies in India are asking the government for help with their taxes.
The government changed a rule about fixing tax mistakes, and now companies can only fix them for the last six years.
This causes problems because the companies sometimes made mistakes when reporting taxes, and now the vendors they work with are having trouble claiming their tax credits.
This means vendors may get tax demands or can’t get back the money they already paid in taxes.
Companies want the government to let them fix these old mistakes so vendors aren't penalized, which would also improve the company's relationship with them.
Large Indian corporations seek relief from the CBDT regarding the TDS return revision cap.
The government's recent policy limits TDS return corrections to the past six financial years.
Businesses face difficulties with legacy TDS mismatches discovered through tax authority actions.
Vendors are unable to claim tax credits due to incorrect return filings.
Industry bodies are urging the CBDT to reconsider the time limit for corrections.
- Who
- Large Indian corporations and industry bodies.
- What
- Seeking relief from the TDS return revision cap.
- When
- Following a policy change in the July 2024 Union Budget.
- Where
- India
- Why
- To correct genuine errors and ensure vendors can claim tax credits.
Government
Industry
TDS Return Revision Cap
Government
The government capped the revision window to streamline tax administration.
Industry
Industry seeks a relaxation or the old system of allowing correction of TDS returns beyond the six-year limit
- Governing Body
- CBDT
- TDS Return Revision Cap
- Six-year limit
- Affected Industries
- E-commerce, banking, IT, healthcare
- Issue for Vendors
- Prevents vendors from claiming TDS credit