It is applicable for TDS deducted under section 200(3) of Income Tax for TDS under sections from 193 to the 194 being interest on securities, Dividend Securities, professional fees, directors’ remuneration etc. Deductor has to prepare the quarterly statement of all the payment made by him and it is done under TDS return form 26Q and the complete amount of deduction made by him. There are different types of incomes that are subject to deduction of tax at source.

The Types of income are mentioned below
SalariesPayment On Account Of Repurchase of Units by Mutual Fund or Unit Trust of India.
Interest on SecuritiesPayments In Respect Of Rent
DividendsPayments on Transfer of Certain Immovable Property Other Than Agricultural Land.
Interest Other Than the Interest on SecuritiesPayments of Professional or Technical Services.
Winning From Lottery or Crossword PuzzlesPayment of Compensation on Acquisition of Certain Immovable Property.
Winning From Horse RacesInterest Payable to Non- Resident and Foreign Companies by an Infrastructure Debt Fund.
Payments to Resident ContractorsPayment of Interest to a Non-Residents and Non-Indians Companies.
Payment of Insurance CommissionPayments to an Offshore Fund.
Payments of Non-Resident Sportsman or Sports AssociationPayment of Interest or Dividends on Foreign Currency Bonds or Shares of Indian Company.
Payment of NSSPayments of Interest or Dividends to Foreign Currency Bonds or Shares of Indian Company.

During the quarter TDS form 26Q can be filled for many payments as there are many different payments on which TDS will be deducted they are-

Interest on Securities under Section 192.Payments of Non-Resident Sportsman or Sports Association under the Section 194E.
Dividends Section under 194.Payment of NSS under the Section 194EE.
Interest Other than Interest on Securities under the Section 194A.Payments on Account of Repurchase of Units by Mutual Fund or Unit Trust of India under the Section 194F.
Winning From Lottery or Crossword Puzzles under the Section 194B.Payment of the Commission on Sale of Lottery Ticket under the Section 194G.
Winning From Horse Races under the Section 194BB.Payment of Commission or Brokerage under the Section 194H.
Payments to Resident Contractors under the Section 194C.Payments In Respect of Rent under the Section 194I.
Payment of Insurance Commission under the Section 194D.Payments on Transfer of Certain Immovable Property other Than Agricultural Land under the Section 194IA.
Payments of Fees for Professional or Technical Services under the Section 194J.


  • For declaration of a citizen’s TDS returns in detail 26Q form is filled.
  • This form is based on their payments other than salary.
  • Declaration by people who are living and working in India or are Indian citizen is necessary.
  • This form is payable under the sub – section (3) of section 200 of the Income-tax Act, 1961.
  • The sections under which the form is based on, and can be used for reference to fill in the declaration form include sections 193, 194, 194A, 194BB, 194C, 194D, 194EE, 194F, 194G, 194H, 194I, 194J, 194LA and rule 31A.
  • It needs to be indicated on the form whether the deductor is Government or non-Government.
  • For non-Government deductors Permanent account number (PAN) is compulsory.
  • In the case of Government deductors, “PANNOTREQD” has to be mentioned on the form. Mentioned.

Penalties under Form 26Q

  • Late filing fee
  • Interest (if you do not deposit the TDS amount in time)
  • Penalty (if TDS is not filed within one year of the due date)

Hence we can say that the TDS form 26Q is a quarterly statement filed by the deductor regarding the total payments made by the deductor and the total amount deducted from the payments made by him. It even has all the record of the Tax deductor and of the person to whom the payment is made during the quarter.3

In case you are confused about TDS Return Filing as a deductor, feel free to consult the experts at LegalRaasta. You can get comprehensive assistance with our TDS Return Filing Software which supports TDS on Salary payments (Form 24Q), Rent, Interest, Commission and other Non-salary transactions (Form 26Q), NRI (Form 27Q)and TCS (Form 27EQ).