TDS on Non-filing of Income Tax Return
The Finance Bill of 2021 brought significant changes to Tax Deducted at Source (TDS) regulations, particularly targeting individuals who have not filed their Income Tax Returns (ITR) on time. These changes, outlined in Section 206AB and Section 206CCA, introduce higher TDS rates and Tax Collected at Source (TCS) rates for non-filers. This excerpt delves into the implications of these provisions, the affected payments, and emphasizes the importance of timely tax compliance to avoid penalties and ensure financial integrity.