Quick answer: Quarterly TDS statements for Q2 (July–September 2026, tax year 2026-27) are due 31 October 2026, a Saturday. File Form 138 for salary TDS, Form 140 for non-salary TDS on residents, and Form 144 for TDS on payments to non-residents. Late filing costs ₹200 per day under Section 427, capped at the quarter’s TDS amount, payable before you file.
The Q2 Deadline and Which Form You File
Every deductor who deducted tax at source during July, August or September 2026 must file a quarterly TDS statement for Q2 of tax year 2026-27. The statements run under the Income-tax Act, 2025 and the Income-tax Rules, 2026, in force from 1 April 2026.
| Quarter | Period covered | Return due |
|---|---|---|
| Q2 | 1 July – 30 September 2026 | 31 October 2026 (Saturday) |
31 October 2026 falls on a Saturday. Do not assume the date moves — file before the weekend, and do not leave it to the last hours of the day.
Who must file? Every person who deducted tax at source during the quarter and holds a TAN — employers, businesses, professionals, trusts, and others who deduct TDS on payments they make. The statement is filed per TAN, and you file a separate statement for each form that applies to you.
Which form do you need?
| Form | What it reports | Earlier form |
|---|---|---|
| Form 138 | Salary TDS (certificate: Form 130) | Form 24Q |
| Form 140 | Non-salary TDS on resident deductees — professional fees, rent, interest, commission and similar payments | Form 26Q |
| Form 144 | TDS on payments to non-residents | Form 27Q |
Pick the form that matches the payment type you deducted tax on. If you deducted tax on salary for any employee, file Form 138. If you deducted tax on rent, fees, interest or commission for an Indian resident, file Form 140. If you deducted tax on any payment to a non-resident, file Form 144. All three forms are filed separately — you cannot combine them in a single statement.
TCS statements (Form 143, earlier 27EQ) follow a separate schedule — check the due date on the e-filing portal.
New Form Numbers Under the Income-tax Act, 2025
The 2025 Act renumbered the TDS forms. The quarterly cadence is the same, but the form numbers, section references and some file fields have changed — use the latest FVU version from the e-filing portal.
- Form 138 replaces the old Form 24Q for salary TDS. TDS on salary is Section 392 (earlier Section 192). The salary TDS certificate you give to employees is now Form 130 (earlier Form 16), due by 15 June 2027.
- Form 140 replaces the old Form 26Q. It covers all non-salary TDS on residents.
- Form 144 replaces the old Form 27Q. It is for TDS on payments to non-residents.
The obligation to file the statement is Section 397(3)(b) (earlier Section 200(3)). The form is prescribed by Rule 219 (earlier Rule 31A).
What the Statement Contains
A TDS statement is a deductee-wise break-up of the quarter’s deductions and deposits. For each deductee it reports the PAN, the amount paid or credited, the tax deducted, and the challan through which the tax was deposited. The department matches this data against the deductee’s Form 26AS and AIS, so the deductee gets credit for the tax you deducted.
That matching is why PAN accuracy matters so much. A wrong PAN can mean the deductee’s credit does not appear, and the statement comes back for correction. Run PAN validation on your deductee master file before you generate the statement — fixing a typo at that stage takes minutes; fixing it after filing takes a correction statement.
Deposit vs Return: Two Separate Duties
Many deductors think that paying the tax each month also satisfies the return requirement. It does not.
- Deposit — the tax you deduct in a given month must be deposited by the 7th of the next month. For example, TDS deducted in September 2026 must be deposited by 7 October 2026. For March deductions, the deadline is 30 April. This is a monthly obligation.
- Return — the quarterly statement reports all deductions and deposits made during the quarter. It is due 31 October 2026 for Q2.
If you miss a deposit, interest on the delayed deposit applies separately, at 1.5% per month or part of a month. If you miss the return, the ₹200-per-day late fee applies, and a separate penalty can apply for an incorrect statement. The two tracks are independent — meeting one does not cure the other.
What Late Filing Costs
The law imposes a late fee under Section 427 (earlier Section 234E):
- Rate — ₹200 for each day the statement is late.
- Cap — the fee cannot exceed the total TDS amount for the quarter.
- Payment — the fee must be paid before you submit the statement. The portal will not let you file until the fee is cleared.
In addition to the late fee, an incorrect statement can attract a separate penalty. The amount depends on the nature of the error and the notice issued by the department — another reason to get the statement right the first time.
Before You File: A Short Checklist
- Gather the challan deposit summary for July–September 2026.
- Reconcile the summary with your books. The TDS you recorded should equal the total of the challan amounts.
- Validate PAN numbers of all deductees. Run PAN validation on the master file to catch typos before generating the file.
- Pick the right form (138, 140 or 144) for each batch of payments.
- Prepare the statement in the e-TDS/TCS utility (FVU/RPU) using the latest version.
- Generate and validate the statement by 28–29 October 2026. This leaves a buffer for corrections.
- Pay the late fee (if applicable) before attempting to upload.
- Upload the validated statement well before the day ends on 31 October 2026.
- Save the acknowledgement receipt. You will need it for future reference or any audit.
- Issue certificates — for non-salary payments, issue Form 131 (earlier Form 16A) within 15 days of the statement due date, so by 15 November 2026 for Q2.
If you deducted no tax at all in the quarter, confirm with your CA whether a statement is expected for your TAN — do not assume a nil filing is automatic.
Correction Statements
If you discover an error after filing, you can correct it by filing a correction statement through the RPU/FVU route. A correction updates the statement data; if the TDS amount itself changes, the challan details must match. If you file the correction voluntarily, before the department sends a notice, the department treats it leniently. The correction statement follows the same form number as the original statement (138, 140 or 144). Do not wait for a notice — early correction reduces the chance of a higher penalty.
Frequently Asked Questions
What is the due date for the Q2 TDS return for tax year 2026-27?
31 October 2026, for Forms 138, 140 and 144 covering July–September 2026. The date falls on a Saturday — file before the weekend.
Which TDS form do I file — 138, 140 or 144?
File Form 138 for salary TDS, Form 140 for non-salary payments to Indian residents, and Form 144 for payments to non-residents. Use the form that matches the nature of the payment.
What is the late fee for a delayed TDS return?
₹200 per day under Section 427, capped at the quarter’s TDS amount. The fee must be paid before the statement is filed.
Is TDS deposit and TDS return the same compliance?
No. Deposit is a monthly duty — pay the tax by the 7th of the next month (30 April for March). The return is a quarterly statement of all deposits. Both must be met, and they are separate obligations.
Can I revise a TDS return after filing?
Yes. File a correction statement through the RPU/FVU route as soon as you spot the mistake. Voluntary correction before a notice is treated more favourably.
When do I issue TDS certificates for Q2?
For non-salary payments, issue Form 131 (earlier Form 16A) within 15 days of the statement due date — by 15 November 2026 for Q2. Salary certificates (Form 130) are due by 15 June 2027.
What if I deducted tax but did not deposit it?
Deposit it immediately. The statement reports deductions and deposits together, and a deduction without a matching deposit will show up as a mismatch. Interest applies on the delayed deposit, and the return cannot be treated as complete until the tax is paid.
Official Sources
- Income Tax e-filing portal — incometax.gov.in
- TRACES, for TDS statements and certificates — tdscpc.gov.in
- Protean (TIN) e-TDS/TCS return utility (FVU/RPU) — available through the e-filing portal
Related guides
- TDS on Salary: Section 192 (Now Section 392) – Rates, Calculation and How to Reduce It
- TDS on FD Interest: Section 194A (Now Section 393) — Rates, ₹50,000/₹1 Lakh Limits & Form 121
- TDS on Rent 2026: 194-I vs 194-IB — ₹50,000/Month Rule and New Section 393
Reviewed by Asuthod Rathod, CA
Last updated: 17 October 2026
Disclaimer: This article provides general information only. It does not constitute professional tax advice. Consult a qualified tax practitioner for advice tailored to your situation.
Editorial byline for eircicai income tax guides — covering the Income Tax Act, 2025, section renumbering, regime comparison, and deductions. Content is reviewed by Asuthod Rathod, CA.