Penalties Section 234E — Late Fee for TDS/TCS Return
Section 234E — Late Fee for TDS/TCS Return
Income Tax Act 1961 — 234E
₹200 per day for each day the TDS/TCS return is filed late, capped at TDS/TCS amount payable for the period.
The Penalty
₹200 per day
- Cap
- TDS/TCS amount payable for the period (quarter/year)
- Calculation base
- Calendar days from due date of TDS return to actual filing date
- Period
- Per day from due date until actual filing date
When does this apply?
TDS/TCS quarterly return not filed by the due date
Calculate this amount
This estimate applies only the rate and caps published in the authored rule for this page.
₹6,000Before cap: ₹6,000
Worked examples
| Scenario | Calculation | Result |
|---|---|---|
| 10-day delay, TDS ₹50,000 | ₹200 × 10 = ₹2,000 | ₹2,000 |
| 30-day delay, TDS ₹50,000 | ₹200 × 30 = ₹6,000 | ₹6,000 |
| 100-day delay, small TDS ₹12,000 (cap applies) | ₹200 × 100 = ₹20,000 BUT capped at TDS amount → ₹12,000 | ₹12,000 |
How it is levied
Automatically computed by TRACES/CPC when return is filed late. Shown as a demand in Form 26AS and TDS challan. No separate show-cause notice required before levy (Supreme Court upheld automatic levy in Rashmikant Kundalia v. UoI).