TAN or Tax Deduction and Collection Number (TAN) is a 10-digit alpha-numeric which is essential to be obtained by all individuals who are accountable for Tax Deduction at Source (TDS) or Tax Collection at Source (TCS) on behalf of the Government of India.

The individual who is deducting the tax at source is essential to deposit the tax deducted to the credit of the Central Government, mentioning the TAN number. Individuals who are salaried are not essential to get TAN or deduct tax at source. But, a proprietorship and other organisations (Ex.: LLP, Private Limited, etc.,) should deduct tax at source while processing certain payments like salary, payments to contractor or sub-contractors, the sum of rent above INR 1,80,000 per year, etc.

As per the Income Tax Act, any business or individual making a payment is essential to deduct tax at source if the payment is above certain threshold limits. Typically, tax deductions are made in a series of 1 % – 10 %. Those who are having TAN Registration should then file Tax Deducted at Source (TDS) returns. TDS returns are due quarterly. Soft Tech Solutions can assistance and file your TDS returns online. Our TDS specialists can assist you to calculate your TDS payments and then file the TDS return online and retain you in compliance with TDS guidelines. TDS return Filings are mandatorily required each quarter by all individuals and organisations who have deducted tax at source.