TDS Return Due Date FY 2025-26 Guide: Filing Deadlines

Introduction

The TDS return due date for FY 2025-26 is crucial for businesses and individuals who deduct tax at source (TDS) on payments like salaries, rent, or professional fees. TDS, or Tax Deducted at Source, ensures timely tax collection under the Income Tax Act, 1961. Filing TDS returns on time helps avoid penalties and ensures compliance. This guide explains the TDS return due date for FY 2025-26, payment schedules, penalties, and filing tips, based on verified information as of June 2025.

What is TDS and Why Are Returns Important?

TDS is a system where tax is deducted at the source of income, such as salaries, rent, or interest, before payment is made to the recipient. The deductor then deposits this tax with the government and files quarterly TDS returns to report these deductions. The TDS return due date for FY 2025-26 ensures the government tracks tax collections, and employees or recipients get credit for taxes deducted.

• Purpose: Simplifies tax collection, prevents evasion, and ensures accurate reporting.
• Forms: Form 24Q (salaries), 26Q (other domestic payments), 27Q (non-resident payments), and 27EQ (TCS).

Example: A company paying ₹50,000 monthly salary deducts TDS, deposits it, and files Form 24Q by the TDS return due date for FY 2025-26 to report it.

TDS Return Due Dates for FY 2025-26

The TDS return due date for FY 2025-26 follows a quarterly schedule, with specific deadlines for filing returns and depositing TDS. Here’s the schedule for the financial year 2025-26 (Assessment Year 2026-27):

• Payment Rules: TDS must be deposited by the 7th of the next month, except for March, which is due by April 7, 2026. Government deductors using book entry (Treasury Challan) deposit on the same day of deduction.
• Return Filing: Returns are due by the last day of the month following the quarter, except for Q4, which is due by May 31, 2026.

Example: For Q1 (April–June 2025), deposit TDS by July 7, 2025, and file the return by July 31, 2025.

Penalties for Missing TDS Return Due Dates

Missing the TDS return due date for FY 2025-26 can lead to penalties and interest, as outlined in the Income Tax Act:

• Late Filing Fee: ₹200 per day under Section 234E until the return is filed, capped at the TDS amount. For example, if TDS is ₹10,000 and you file 50 days late, the fee is ₹10,000 (not ₹200 × 50 = ₹10,000, as it’s capped).
• Interest on Late Deposit: 1.5% per month or part thereof on unpaid TDS from the deduction date to the deposit date. For instance, a ₹5,000 deduction delayed from January 7 to May 17 incurs 4 months’ interest (₹300).
• Penalty for Non-Filing: Under Section 271H, the assessing officer may impose a penalty of ₹10,000 to ₹1,00,000 for failure to file returns.

Example: If you miss the October 31, 2025, deadline for Q2 by 30 days with ₹8,000 TDS, you’ll pay ₹6,000 (₹200 × 30) or ₹8,000 (capped).

How to File TDS Returns

To meet the TDS return due date for FY 2025-26, follow these steps:

1. Obtain TAN: Ensure you have a Tax Deduction Account Number (TAN) for TDS filings.
2. Prepare Data: Gather details of deductions (e.g., salary, rent, professional fees) and recipient PANs.
3. Log into e-Filing Portal: Visit Income Tax e-Filing Portal and log in with your TAN.
4. Select Form: Choose the correct form (24Q, 26Q, 27Q, or 27EQ) based on payment type.
5. Fill and Validate: Enter deduction details, validate using the Return Preparation Utility (RPU), and generate the FVU file.
6. Upload and Submit: Upload the FVU file, use a digital signature if required, and receive a confirmation email with an acknowledgment number.

Example: A business deducting TDS on professional fees files Form 26Q by July 31, 2025, for Q1, using the e-Filing portal.

Benefits and Challenges

Benefits:

• Compliance: Timely filing ensures compliance with the Income Tax Act, avoiding penalties.
• Tax Credit: Helps recipients claim TDS credit in their ITR, ensuring accurate tax reporting.
• Simplified Process: Online filing on the e-Filing portal is user-friendly with real-time tracking.

Challenges:

• Complex Forms: Choosing the right form (24Q, 26Q, etc.) can be confusing without expert help.
• Penalties: Late filing or payment attracts heavy fees and interest, impacting finances.
• Technical Issues: Portal glitches or incorrect PAN details can delay submissions.

Tips: Use TDS software, verify PANs, and consult a CA for complex cases.

FAQs

1. What is the TDS return due date for FY 2025-26?
   The TDS return due date for FY 2025-26 is July 31, 2025 (Q1), October 31, 2025 (Q2), January 31, 2026 (Q3), and May 31, 2026 (Q4).
2. What happens if I miss the TDS return due date?
   You’ll face a ₹200/day late fee (capped at TDS amount) under Section 234E and 1.5% monthly interest on late deposits under Section 201(1A).
3. Which forms are used for TDS returns?
   Form 24Q for salaries, 26Q for domestic payments, 27Q for non-resident payments, and 27EQ for TCS.
4. How do I file TDS returns online?
   Log into the Income Tax e-Filing portal, select the form, validate using RPU, upload the FVU file, and submit with a digital signature if needed.
5. Can I claim ITC on TDS payments?
   TDS is not related to GST ITC; it’s credited to the recipient’s ITR. For GST-related ITC, consult a tax expert.

Conclusion

The TDS return due date for FY 2025-26 is critical for businesses and individuals to stay compliant with the Income Tax Act. With quarterly deadlines (July 31, October 31, January 31, and May 31), timely TDS deposits and filings prevent penalties like ₹200/day fees and 1.5% monthly interest. Use the Income Tax e-Filing portal or platforms like TaxQue to simplify the process. Stay organized, verify details, and meet the TDS return due date for FY 2025-26 to ensure smooth tax compliance in 2025–26.