Kotak Life
Close

Buy a Life Insurance Plan in a few clicks

Close

Now you can buy life insurance plan online.

Kotak e-Term Plan

Kotak e-Term Plan provides a high level of protection to your loved ones in your absence. Know more

Kotak Guaranteed Savings Plan

Kotak Guaranteed Savings Plan is a savings and protection plan that helps you achieve long-term financial goals and provides an insurance cover against any eventuality. Know more

Kotak E-Invest

Kotak e-Invest plan is a complete Unit-Linked Insurance Plan that can be customized as per your goals and needs. Know more

Kotak Health Shield

Kotak Health Shield Plan helps secure your finances in sudden medical expenses such as Cardiac, Liver, Neuro, and Cancer (all early and significant illness stages/conditions of cancer), along with offering protection for personal accidents - in case of accidental death or disability. Know more

Kotak Lifetime Income Plan

Kotak Lifetime Income Plan gives you the security of your income continuing throughout your life and in your absence throughout your spouse's lifetime! Know more

How to Claim TDS Refund for Excess TDS Deduction

How to Claim TDS Refund for Excess TDS Deduction
  • 1st Oct 2019 |
  • 127,866

Tax Deducted at Source (TDS) is the tax, which is deducted from the salary of an individual before the amount is credited to his account. The deduction is done by the deductor and it is deducted every month by employers.

What is TDS refund?

Individuals who have made financial declarations at the start of the year, which are less than the proof of investment submitted at the end of the year, will be eligible for a TDS refund. If the projected investments declared at the beginning of the year are less than the actual investment made at the end of the year, a situation for a refund will arise. The sooner you file the income tax return, the earlier you can get the TDS refund.

Steps for filing the TDS return claim

You need to file a TDS refund claim when the employer has deducted more tax than the actual liability. You can claim the difference amount by filing an income tax return. You will have to provide the bank account number, name of the bank, and Indian Financial System Code (IFSC) details for successful processing. If you know that the TDS is payable in any financial year, you need to file Form 13 under Section 197 to avail of a benefit of a lower income tax deduction.

You need to know how to claim TDS refund in case of a deduction by the bank. If the income tax is less but the bank has deducted more tax on your fixed deposit, you can claim a refund in two ways. One way is to declare the income and the I.T. department will refund the amount in the bank account. The other way is to file Form 15G with the bank so that here is no deduction at source since your salary does not fall under any tax slab. Senior citizens are exempted to pay TDS from interest on fixed deposits.

How to Claim TDS Refund Online?

Claiming Tax Deducted at Source (TDS) refund online is a simple process and involves the filing of income tax returns. It includes the following steps:
1 - Sign in or sign up on the online e-filing portal of the Income Tax Department, i.e. incometaxindiaefiling.gov.in
2 - Fill in the relevant details in the applicable Income Tax Return (ITR) form.
3 - On submission of the ITR, the portal generates an acknowledgement.
4 - E-verify the acknowledgement through the digital signature, net banking account, or an Aadhaar-based one-time password (OTP).

Save Tax Now

How to apply for the TDS rebate or Income Tax Return (ITR)

The TDS refund process is very simple. You just need to visit the income tax portal and login to download the relevant form for an income tax refund. Enter all the particulars and submit the form. If the employer has deducted tax when you are not eligible for it, you can claim the amount by filing income tax returns (ITR).The department will review the taxable amount and you will receive the amount directly in your bank account.

How to check TDS refund status?
Visiting the online e-filing portal helps in knowing the refund status.
1 - Log in to your account.
2 - Check out the section labelled ‘My Account’ and select ‘Refund/Demand Status’.
3 - This reflects the assessment year, the status and the mode of payment. In case of rejection, the corresponding reason is mentioned here as well.

How to verify the status of a TDS refund?
In case you do not receive the TDS refund in the above mentioned time frame, you can follow the steps given below.
1 - Download Form 26AS and compare it with your income and TDS details. In case of any mismatches, get in touch with the TDS deductor to check on the accuracy of the TDS returns they filed.
2 - Contact the concerned income tax officer or the ombudsman. Their contact details are available on the online e-filing portal.

What is the TDS refund period?
If the ITR is filed on time, you can expect the refund to get credited in your bank account in three to six months. The credit is also a function of the completion of the e-verification formality.

Steps for raising a complaint about the delay in receiving ITR

If you have not received the refund even after you applied for ITR, you need to get in touch with the officer to file a dispute. Provide all the information and details. If there is no response, you can contact the Income Tax Ombudsman with your PAN, Form 16, bank statement, TDS certificate issued by the bank, and documents that show earnings and investment.

Interest on TDS refund
In case of delays in refunding the TDS amount, the Income Tax Act entitles you to receive interest. The interest is calculated at a simple rate of 6%. The accrual of interest takes place from the first month of the financial year, i.e. April, and is taxable under ‘Income from Other Sources.’ However, the interest is not applicable where the amount of refund is lower than 10% of the total tax payable.

Safeguards to avoid double claims
While approving the refunds, the assessing officer takes due care to avoid double claims. Hence, in case of errors, while claiming the refund, you must have supporting documents to prove that it was genuine.

Some important points to remember:
1 - The threshold for TDS deduction varies according to the payment types. For example, where the FD returns exceed INR 40,000 in a year, the bank deducts TDS. The said threshold is INR 50,000 in case of senior citizens. Likewise, the rate of TDS varies in case of salaries, professional fees, etc. The TDS rate also differs according to the nature of the payment.
2 - The refund is applicable when the paid TDS amount exceeds the tax liability.
3 – It is important to mention the details of the tax-saving instruments accurately in the ITR. For instance, the premiums paid under an insurance policy are allowed as a deduction under Section 80C . However, duly note that you must not consider insurance solely as a tax-saving product. You must get coverage from a reputed insurance player like Kotak Life to avail the best protection plans.
4 - The bank details should be properly entered to receive the refund in your bank account. Incorrect details can cause delays in receipt or non-receipt of the refund amount.
5 - If you missed on claiming the refund while filing the return, you can file a revised return.

Now that you are aware of the TDS refund procedure, you can go ahead and claim your rebate.

Invest in Term Insurance Now to Save Tax

Read Here for More Related Articles:

- A Consumer Education Initiative series by Kotak Life

Similar Articles

How Much Term Insurance Do I Need

Why Should You Buy Term Insurance in 2022?

Term Insurance – Why You Must Include In Your Financial Planning?

Why Term Insurance Is Better Than ULIP?

Different Types of Protection Plans

Is Term Life Insurance Plan an Investment or Expense?

What Are Insurance Riders and How to Choose Them in a Term Plan?

Term Insurance With Riders In India

Insuring Protection Against Death With Death Insurance Rider

Why Surrendering Your Term Plan Policy In The Final Phase Maybe A Bad Idea?

8 Benefits of Term Insurance You Should Know

Insurance Policy for Housewife In India

टर्म इंश्योरेंस क्या है? टर्म इंश्योरेंस का मतलब

What is a short term insurance policy?

Can Senior Citizens Avail Term Insurance?

Which Term Insurance to Choose: Lump Sum or Staggered Pay-out Plan?

All you need to Know about Term Insurance Plans for Housewives

How to Identify Term Insurance According to Your Needs?

Can Term Insurance Plans Be Purchased As A Gift?

Is Group Term Life Insurance Provided By Employer Sufficient?

Why Premium Amount for Term Insurance is So Low?

Are The Add-ons and Optional Features of Term Insurance Plans Actually Beneficial?

Does Term Insurance Cover Accidental Death?

Different Types of Premium in Term Insurance

Why Should You Add a Rider to a Term Insurance Plan?

Key IRDAI Regulations That Changed Face Of Term Insurance Industry In 2020

Why Buy Term Insurance Even at Rising Rates?

What is Critical Illness Policy

Why Should New Parents Buy Term Life Insurance?

How to Buy 1 Crore Life Insurance Policy Without Medical Test

Difference between Term Insurance and Life Insurance

6 Types of Death not covered in Term Insurance Plan

Term Insurance: Smokers vs Non-Smokers

What Happens if you Hide Facts in your Term Insurance?

Can I Get Term Insurance on Behalf of My Spouse?

What is the Right Term Period For Term Insurance Policy? Here's How You Should Choose!

Can I Make Changes to My Term Insurance Policy Post Purchase?

6 Reasons That Make Term Insurance a Must Buy

Term Insurance: What Happens When You Don’t Pay Your Premiums?

What is Insurance Premium - A Detailed Guide

Steps on How to Buy Term Insurance Online

How to Ensure That Your Term Insurance Claims Are Never Rejected?

4 Things To Expect From Your Term Insurance Plan in India

5 Term Insurance Benefits for Single Women

Why is it important to buy term insurance plan?

Should You Buy a Term Plan After 40?

Tips to Choose the Right Term Period for Term Insurance Plan

9 Most Frequently Asked Questions on Term Insurance

Term Plan with Spouse Cover

Is term Insurance Needed for People With No Dependents?

Is There Any Tax Benefit on Term Insurance?

Choosing Riders for Insurance Plans

Planning For Son or Daughter's Wedding

Is Life Insurance Investment Worthy Enough

Advantages of Buying Term Insurance in Your 50s

Buying A Term Insurance? Don't Ignore the Claims Settlement Ratio

Term Insurance Basics You Should Know

What Is a Renewable Term Insurance Policy?

How to Surrender Term Life Insurance When you have No Liabilities

Planning For Children's Future

Endowment Plans vs Term Plans: Understanding the difference

Know How to Invest at Every Age for Larger Returns

How Does A Term Life Insurance Work in India?

Why Should You Not Take A Term Plan Without Medical Test in India?

Why Buy Term Insurance Plan With a High Cover?

Why does every working woman need life insurance?

What All Documents Required For Term Insurance In India?

Do Beneficiaries Pay Taxes on Term Insurance?

Increasing Term Insurance and Riders

Busting Myths and Facts About Term Insurance Policies

All About Term Insurance Inbuilt Coverage

8 Things To Do After Buying Term Insurance

How Much Cover Should I Take In A Term Plan?

Term Insurance Calculator - Everythng You Need To Know

How To Choose the Right Sum Assured Under a Term Plan?

Should Youngsters, Working Couples Buy Term Insurance Plans?

5 Things To Consider While Buying Term Insurance Plan

Buying A Term Insurance Plan? Take These Factors into Account

Tax Benefits of Term Insurance in India

Comparing Term Plans – What Should You Look Out For

Protection for your family

Which Death Type Does Your Term Plan Not Cover?

Can I Buy Term Insurance for a COVID-19 Patient?

What Should Be The Duration Of Your Term Plan in India?

Why should single women purchase term life insurance?

4 Reasons Why You Need Critical Illness Cover

Do You Need Term Insurance Cover After Retirement?

10-Year Term Life Insurance Policy - Explained in Detail

Insuring Against Accidents with an Accidental Death Insurance Rider

Is It Good To Buy A Term Insurance Plan In 2022?

While Buying Term Insurance Compare Features, Not Just Premiums

Is a Term Insurance Policy Portable?

Why Term Insurance Is Important in times of COVID-19?

Make Your Online Term Plan Your Family's Monthly Pay Cheque

Importance of Term Insurance at Every Stage of Your Life

What is a Joint Term Insurance Plan? Key Benefits of Joint Term Plan

Best Investment Plans for Children - Secure Your Child's Future

Do I Need to Give a Medical Test for Term Insurance in India?

Term Insurance with Critical Illness

How to Compare Term Insurance Online

Why Buying a Term Plan Is Smarter Than Traditional Life Insurance Products

Cost of Term Insurance Likely to Increase Soon

5 Benefits of Early Retirement Planning

How Does Term Life Insurance Work? Learn the Benefits

What are incremental term insurance plans?

Insuring yourself against Ill Health with a Critical Illness Rider

Eligibility Criteria for Buying Term Insurance in India

What Are the Best Term Insurance Plans for Planning Retirement?

Term Plans are Definitely Cheaper than You Think!

4 Methods to Calculate How Much Term Insurance You Need

Can You Increase Your Term Insurance Cover?

What Should You opt for - Limited or Premium Pay?

Advantages & Disadvantages of Term Insurance in India

Calculating Term Insurance Premium

Term Insurance Plans and Policies for Smokers

5 Reasons to Buy Term Insurance When You are in Your 30s

What are the Documents Required for Term Insurance Plan?

Individual Life Insurance vs. Group Term Life Insurance

Does Your Term Insurance Plan Cover Death Due to COVID-19?

Term Life Insurance Plan for Smokers vs Non-Smokers

What Is a Passive Income? Why Should You Use It to Buy a Term Plan?

Can I Extend the Tenure of My Term Insurance Plan?

Ensure Protection Against Death, Disease & Disability With Life Insurance

How To Choose the Right Term Insurance Plan?

Gift Your Father A Term Insurance Plan This Father's Day

When is the Right Time to Buy Term Life Insurance Policy for Yourself?

Key Differences Between Term Insurance, ULIPs, And Health Insurance

Reasons You Need Term Insurance Plan as a Self-Employed Person

What is Term Insurance - A Complete Guide

Make Your Online Term Plan Your Familys Monthly Payout

Ideal Features of a Suitable Term Plan - Act Now for a Stress-free Future

Is ₹1 Crore Term Insurance Good Enough Cover?

How To Calculate The Amount Of Term Life Insurance You Need?

What is Form 16, Form 16 part A, Form 16 part B, Information Required and FAQs

What Is the Correct Age to Buy Term Insurance?

Term Insurance Age Limit – Term Plan for All Age Groups

What Types of Deaths Are Covered in a Term Insurance Plan?

Understanding Term Insurance Riders

Insuring Against Disability With Disability Insurance Rider

Is it a Good Time to Buy Term Insurance During the COVID-19 Pandemic?

Can Non-Resident Indians (NRIs) Buy Term Insurance In India?

Everything About Claim Settlement Ratio for Term Insurance

Online vs Offline Term Insurance: Which Is The Better Option To Buy

How Much Term Life Insurance Cover Do I Need in India?

Top 3 Reasons Why You Should Buy A Term Plan Now

How To Change The Nominee in Term Insurance?

Term Vs. Whole Life Insurance: Which One You Should Buy in India?

Why Term Plan Should Be The First Step To Securing Your Future?

8 Factors to consider before choosing a Critical Illness Insurance

Why 1 Cr Term Plan Is Necessary For Family?

Can A Housewife Buy a Term Insurance Plan - All You Need to Know

How Not To Get Your Term Insurance Claim Rejected

Term Insurance: Most Common Term Insurance Myths Explained | Kotak Life

Why Married People Should Buy Term Insurance Under MWP Act?

9 Ways to Help Family Members in Financial Trouble

What Happens to Term Insurance Plan With No Beneficiary - Kotak Life

Should You Have Multiple Term Life Insurance Policies?