The Revenue Department has asked its officials to take action against those entities which do not promptly deposit with exchequer the tax they collect at source.
The CBDT has taken serious view of non-filers of tax deducted at source and has incorporated a new section 234E in the Act which levies a fee of Rs 200 for everyday of delay and the system does not accept the TDS statement until the delay fee has been paid.
The Central Board of Direct Taxes (CBDT) has taken serious note of defaulters and has ordered launch of prosecution in appropriate cases.
TDS accounts for 55 per cent of total direct tax collections. Direct tax collections in 2011-12 was about Rs 4.95 lakh crore and in 2012-13 the target has been fixed at Rs 5.70 lakh crore.
Sources: Financial Express