Introduction
Errors in salary details while filing TDS Return (Form 24Q) can lead to mismatches in Form 26AS, employee complaints, and income tax notices. The Income Tax Department allows employers to correct salary details by filing a revised TDS return through the TRACES portal.
This blog explains the step by step process of corrections in salary details, documents required, correction types, and best practices to ensure smooth compliance.
What Is Salary Details Correction in TDS?
Salary details correction refers to modifying incorrect information reported under Form 24Q, such as:
- Gross salary
- Exempt allowances
- Deductions under Chapter VI-A
- Taxable income
- TDS deducted or deposited
These corrections ensure accurate tax credit to employees.
When Is Salary Correction Required?
Salary details correction is required in cases like:
- Incorrect gross or taxable salary
- Wrong exemption or deduction amount
- Incorrect perquisite value
- Excess or short TDS deduction
- Mismatch in Form 16 and Form 26AS
Types of Salary Corrections in Form 24Q
- Salary Amount Correction
- Taxable Income Correction
- Chapter VI-A Deduction Correction
- Perquisite Value Correction
- TDS Amount Correction
Documents Required for Salary Details Correction
- Original Form 24Q filed
- Consolidated (Conso) File from TRACES
- Employee salary structure
- Proof of deductions and exemptions
- DSC or EVC for validation
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Step by Step Process for Corrections in Salary Details
Step 1: Login to TRACES Portal
Login to the TRACES portal using your TAN credentials.
Step 2: Request Consolidated (Conso) File
- Navigate to Downloads → Request Conso File
- Select Form 24Q, Assessment Year, and Quarter
- Submit the request
Step 3: Download Approved Conso File
Once approved, download the Consolidated File for the relevant quarter.
Step 4: Open TDS Return Utility
Use RPU (Return Preparation Utility) or authorized TDS software and import:
- Original return data
- Conso file
Step 5: Select Salary Details Correction
Choose Salary Details Correction and update:
- Gross salary
- Exemptions
- Deductions
- Taxable income
- TDS deducted
Ensure values match payroll records.
Step 6: Validate the Revised Return
Validate the corrected return using the latest FVU (File Validation Utility) to generate an error-free file.
Step 7: Upload Revised Form 24Q
Upload the validated file on the TDS CPC / NSDL portal using:
- Digital Signature Certificate (DSC), or
- Electronic Verification Code (EVC)
Step 8: Track Correction Status
Check the status under Statement / Correction Status on TRACES.
Time Limit for Salary Corrections
There is no fixed deadline, but corrections should be completed before return processing to avoid penalties, interest, or employee grievances.
Common Mistakes to Avoid
- Using outdated Conso file
- Incorrect deduction limits
- Mismatch between Form 16 and payroll
- Ignoring FVU validation errors
- Uploading without DSC/EVC
Benefits of Correcting Salary Details
- Accurate Form 16 issuance
- Correct reflection in Form 26AS
- Reduced risk of notices
- Better employee trust and compliance
Why Choose Saving Mantra?
- Payroll and TDS experts
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Disclaimer
The information provided in this blog is for general informational purposes only and does not constitute tax, legal, or professional advice. Tax laws and procedures are subject to change. Readers are advised to consult a qualified tax professional before taking any action.