New TRACES portal for TDS working under New Income Tax Act,2025

Summary

The video provides a detailed overview of the new TRACES portal for TDS compliances under the Income Tax Act 2025. It explains how users can handle new and old compliances, navigate dashboards, view rate charts, and generate certificates. Key updates include PAN-based TDS compliances for NRIs and rent payments, easing login processes, and suggestions for simplifying authentication with Aadhaar OTP instead of DSC. The speaker also emphasizes future improvements to consolidate TDS operations on TRACES, streamline user experience, and gradually add forms and services, making the portal more professional and user-friendly for both individuals and organizations.

Takeaways

• 😀 The new Traces portal is now live for TDS and Income Tax compliance under the Income Tax Act 2025.
• 😀 Old portal options are still available for previous compliance and return filing, allowing users to navigate between the new and old portals.
• 😀 The new portal includes TDS, TCS rate charts, income tax slabs, and Double Taxation Treaty rates for various countries.
• 😀 Users can log in with their old ID and password, but some issues with login may occur due to the new portal setup.
• 😀 The portal dashboard shows various options like e-filing, viewing services, pending actions, downloads, and compliance management.
• 😀 Form 129 for lower deduction certificates is currently the only form available for submission, with more forms expected soon.
• 😀 New compliance under the Income Tax Act 2025 must be done via the new portal, while older compliance remains on the previous portal.
• 😀 A suggestion is made to simplify the login process by introducing a universal login that redirects users to the correct portal based on their needs.
• 😀 TDS-related tasks like challan creation, return uploads, and corrections currently require switching between the Income Tax and Traces portals.
• 😀 The process of uploading Digital Signature Certificates (DSC) is currently difficult on the Traces portal, and a suggestion is made to replace DSC uploads with Aadhaar OTP for easier authentication.
• 😀 The portal is in a transition phase, and users are encouraged to be patient as new forms and services are rolled out gradually.

Q & A

What is the main purpose of the new TDS portal?

The new TDS portal is designed to handle all the compliance tasks related to the new Income Tax Act 2025, specifically focusing on TDS and TCS rates, along with features to file returns, manage services, and perform actions under the Income Tax Act 1961.

Can users still access the old portal for compliance?

Yes, users can still access the old portal for compliance related to previous tax filings. The option is available for those who need to file older returns.

What types of forms are available on the new portal?

Currently, only Form 129 is available for submission on the new portal. This form is used for lower deduction certificates for TDS on salary payments to NRIs. Other forms will be available soon as the portal is gradually updated.

What is the status of the new portal’s features?

While the new portal is live, many features are still being developed. The current services are limited, and additional forms and services will be added in the coming days.

How do users log in to the new portal?

Users can log in to the new portal using their old ID and password from the previous portal. There may be login issues in the initial phase, but these should be resolved soon.

What suggestions were made for improving the portal's functionality?

Suggestions include simplifying the login process by offering a universal login through PAN, removing the need to log in separately for different portals, and making the authentication process smoother, such as allowing Aadhaar-based OTP authentication.

What changes were introduced regarding the purchase of immovable property from NRIs?

A significant amendment in the Finance Act 2026 allows the purchase of immovable property from NRIs without needing a TAN number. Previously, a TAN number was required, but now, users can complete the compliance with just a PAN number.

What additional security features are needed on the portal?

The portal currently has high-security measures, but there are suggestions to improve the DSC (Digital Signature Certificate) upload process and offer Aadhaar-based OTP as an alternative for authentication to make the process smoother for taxpayers.

How does the TDS compliance process work with PAN and TAN?

For TDS payments related to immovable property purchases and certain rental payments, users can complete compliance with their PAN. However, other TDS compliance actions, such as payments, corrections, and filing returns, require TAN numbers.

Will all TDS compliance be integrated into the new portal?

The suggestion is to integrate all TDS-related compliance, including generating challans, filing returns, and making corrections, into the new portal (TRACES), making the process more seamless and reducing the need to switch between different portals.