Filling Your TDS Application for Refund
An Overview for Successful Online Gamers
Online gaming is an adventure, and winning brings the sweetest joy. Nevertheless, just like every other profession, it comes with certain financial implications, especially in terms of taxation. If you are using any online video gaming platform and happen to make a profit, it is good to note that some of those profits have been taxed at source (TDS). This blog purports to take you through the process of completing an income tax return form (ITR) to apply for a TDS refund, such that you are not short-changed, but at the same time, you are tax compliant.
Regard for TDS in Online Gaming
Whenever you tend to play or win any amount on poker, fantasy sports, or any betting activity, the gaming company has to pay out your winnings but not before deducting TDS, which in this case is applicable. In India, the TDS deduction applicable on such winnings is 30%. Therefore, if you win an amount of 10000, TDS will be deducted as 3000, which means you will have 7000 deposited in your account.
Although it can seem that this is a disadvantage, it is important to understand that this deduction is not a payment that settles your entire tax obligation. Rather, this serves as a prepayment of your total tax obligation for the relevant financial year. In case your net income comes below the tax exemption limit or you have paid more tax owing to winning larger amounts in one year than the other, you can file for the refund.
​
Why You Must Grab Your TDS Refund?
Do you know you can be leaving money on the table? Well, many people are not aware that when they file income tax returns, they can claim a refund for the TDS amount that is deducted. If your income is less than the taxable limit or you've got some deductions under your sleeve under sections like 80C or 80D, then it's possible to get a refund of the entire TDS amount. Want to claim this refund? It's not just a refund of cash but also saving money by staying on the right side of tax laws.
How we can help you with your TDS refund
Tackling tax filings can be like trying to solve a Rubik's Cube blindfolded. But don't sweat it, we're here to help you through it, step-by-step
1.Gathering all the necessary documents: We'll help you round up all the paperwork you need, such as Form 26AS, which shows the TDS deducted, your winning statements from gaming companies, and any other income-related documents.
2.Filing Your Income Tax Return: We will help you fill in your income tax return correctly. We will see that all those nasty sections regarding your winnings and TDS deductions are taken care of.
3.Claiming Your Refund: We will guide you on the exact places to claim refund based on TDS deducted and any available deductions under different sections of the Income Tax Act.
4.Follow-Up with Tax Authorities: We will stick with your return until it lands back in your account while helping you follow up on your return with the Tax Authorities.
5.Expert Advice: Our smart professionals and experienced who know the ins and out of tax laws, especially those who consider winnings from online gambling to be taxed. Our consultants can provide advice strictly targeted to your unique circumstance.
Conclusion
Don't let confusion over taxes dampen your fun online gaming! By understanding how TDS works and knowing you can get this amount back by proper filing of your income tax return, you can increase your earnings from online games. Let us take care of the complexities in claiming your TDS refund so that you can focus on what matters most—playing and winning!
