How to Apply for Correction in TDS Payment.

It is possible to correct errors made while depositing TDS payments. Common errors include mentioning the wrong TAN, PAN, assessment year, or nature of payment. These mistakes can lead to a TDS/TCS demand against the deductor. 

Modes of Challan Correction

There are several ways to correct a TDS challan: 

• TRACES Portal: For certain types of corrections. 
• Jurisdictional Assessing Officer: For specific and more complex corrections. 
• OLTAS Challan Correction: This can be done by the bank or the Jurisdictional Assessing Officer. 

The authority responsible for the correction depends on the type of error:

OLTAS Challan Correction on the TRACES Website

The TRACES website allows deductors to correct unclaimed and matched challans without needing the approval of an assessing officer for certain changes. 

Corrections Allowed on TRACES:

• Financial Year: Can be corrected up to the financial year related to the challan’s deposit date. For example, if a challan for FY 2008-09 was deposited on June 20, 2016, the financial year can be corrected up to FY 2016-17. 
• Minor Head Code: Correction between codes 200 and 400.
• Major Head Code: Correction between codes 20 (Company) and 21 (non-Company).
• Nature of Payment (Section Code): Can be corrected for all section codes except for Section 195. ¹⁴For corrections related to Section 195, the Jurisdictional Assessing Officer must be contacted.

Steps for OLTAS Challan Correction on TRACES:

1. Log in to the TRACES website using your TAN. 
2. Navigate to “Request for OLTAS Correction” under the “Statement/Payment” tab. 
3. Select the type of correction you want to make. 
4. Enter the details of the challan to be corrected. 
5. If the details are valid, you can proceed to edit the challan. 
6. The updated values will be displayed in a summary table. 
7. Submit the correction request. 
8. Verify the changes on the confirmation screen and confirm. 
9. A request number will be displayed upon successful submission, and it will also be sent to your registered email ID.

Online Correction in a TDS/TCS Statement

You can also make online corrections to a challan within a TDS/TCS statement that has already been filed. 

Steps for Correction in a TDS/TCS Statement:

1. Log in to the TRACES website. 
2. Under the “Defaults” menu, select “Request for correction.” 
3. Enter the details of the statement you want to correct (Financial Year, Quarter, Form Type, and Token Number).
4. A request number will be generated. 
5. Track the request under “Track Correction Request.” When the status changes to “Available,” you can proceed. 
6. Provide valid KYC information.
7. Select “Challan Correction” as the category of correction. 
8. Make the necessary corrections in the selected fields. 
9. Click on “Submit for Processing” to submit the correction. 
10. A 15-digit token number for the correction statement will be generated and sent to your registered email.
    Source :- For More  Information Read