The Central Board of Direct Taxes (CBDT) vide circular dated 19th December,2019 has extended the due date for payment of tax deducted at source (TDS) under section 194M and furnishing of challan-cum-statement in Form 26QD for the month of September 2019 and October 2019 from 31st October,2019 and 30th November,2019 respectively to 31st December,2019.
Accordingly, the due date for furnishing certificate in Form 16D has also been extended till 15th January,2020.
TDS under section 194M was introduced in the Union Budget for F.Y 2019-20. As per this section, TDS is required to be paid when the total amount paid to a resident individual, for carrying out any contractual work or providing any professional service, in a financial year exceeds Rs 50,00,000 provided the individual is not required to get its Book of Accounts audited(in which case TDS will be deducted u/s 194C or 194J respectively). The due date has been extended considering the fact that the utility for payment of TDS under this section was deployed on the portal on 17th December,2019.
