Income Tax Return vs. TDS/TCS Return: Know the Difference

Many confuse ITR and TDS/TCS Returns. While both relate to taxes, their purposes are different.

“What is an Income Tax Return (ITR)?”

• Filed annually by individuals and businesses
• Shows income and tax paid or refundable
• Mandatory if income exceeds the basic exemption limit

What is a TDS/TCS Return?”

• Filed quarterly by deductors (employers, buyers, contractors, etc.)
• Shows tax deducted at source (TDS) or tax collected (TCS)
• Includes PAN of deductee, amount paid, tax deducted, etc.