Guidance Needed: TDS Filed Under Wrong Company – How to Transfer Credit from Company A to Company B?

[Ramanathan Seshan]

Dear Experts,

We’re facing an issue where a customer has mistakenly filed TDS in the name of Company B, although the purchase and transaction were actually made with Company A. As a result, the TDS credit is reflecting in Company B’s Form 26AS instead of Company A’s.

Is there a way to rectify this and transfer the TDS credit from Company B’s 26AS to Company A’s? What is the appropriate process or remedy for this kind of error if we want to rectify from our end and not request the customer to rectify the TDS return.

Regards,
S Ram

AI Summary

TDS credit misallocation cannot be transferred between PANs; only the deductor can file a revised TDS return to correct the PAN.
A TDS credit recorded against the wrong PAN cannot be transferred by the deductee; only the deductor can correct the error by filing a revised TDS return via the TRACES portal using the Return Preparation Utility to amend the deductee's PAN so the credit reflects in the correct Form 26AS. Prospective declaration mechanisms requiring prior submission do not permit retrospective reallocation of credit after a return has been filed and processed.