The tool conducts 200+ checks before filing to ensure LDC check, 206 AB check, PAN-Aadhar linking check, and more.
Aims to make the complex TDS compliance automated, hassle-free and time-saving for enterprises, amid the introduction of several new sections like 206AB, 206AA, 194Q, and 194R
In an effort to streamline the complex, manual process of managing TDS for enterprises, Clear, India’s leading fintech SaaS firm, has built a cloud-based SaaS solution which can pre-validate data, file TDS returns and generate TDS certificates/Form-16s online to help enterprises manage their TDS returns process with ease.
70% of enterprises that Clear surveyed struggle with their direct tax compliance.With government’s increased focus on TDS as a mechanism to improve tax filing, there is heightened risk of non-compliance for enterprises. Besides impact on cash flow, enterprises also suffer from inefficiencies due to processes that involve using excel sheets and desktop-based tools that cannot handle their scale. Clear identified the need for technology to help them manage TDS filing at scale and integrate with existing ERP tools.
Clear TDS is the only SaaS platform that can reliably handle enterprise-level scale. It can handle filings for a large scale such as processing 3 million deductions in just 30 minutes. Inaccurate TDS deductions and validations may also open the enterprises to a risk of non-compliance for e.g. A large manufacturer of luxury vehicles received demands worth INR 5 Cr (over 3 years) due to incorrect deductions. To address this, Clear TDS has automated bulk PAN verification., Aadhaar linking verification, Lower Deduction Certificate (LDC) consumption sync, challan consumption sync, and challan verification. The tool conducts 200+ checks before filing to ensure LDC check, 206 AB check, PAN-Aadhar linking check, and more.
In addition, the platform can generate advanced reports, including a TDS return summary report, Filing Status Dashboard at FY level, productised tax audit form report, challan report, and LDC report with live tracking, among others. It acts as a central repository for all challans. The technology also allows users to place all sorts of TRACES requests and generate web-based TDS certificates.
Sharing his insights on the new tool, Archit Gupta, Founder and CEO of Clear, said, “ TDS compliance has become very complicated in recent times. With Clear TDS, CFOs will experience significant automation and visibility around TDS compliances.”
In recent times, managing TDS has become complex with the introduction of several new sections like Section 206AA, 206AB, 194Q and Section 194R. Moreover, manual reconciliation of Form 26AS can be time-consuming and often result in errors. There could be mismatches between TDS statement and Form 26AS due to failure of the deductor to deposit TDS on time, incorrect amount entered in the TDS return, incorrect PAN quoted in the TDS return, mistake in the CIN (Challan identification number), the deductor’s PAN/TAN wrongly entered, among others.
Clear (formerly ClearTax), is India’s leading fintech SaaS company with the mission of simplifying finances for Indian businesses and individuals. We are trusted by over 5 million Indian taxpayers, more than a million tax practitioners, 600,000 small businesses, and 4,000 large businesses and brands. For small and large businesses, our product suite covers invoicing, GST, and a range of managed services and credit. For tax professionals, we offer comprehensive GST compliance, ITR, and TDS filing solutions. For individuals, we offer tax compliance and wealth management. Clear has raised $140 million in equity capital investment since its inception. The company was incubated in Y Combinator and is funded by Silicon Valley investors, including PayPal co-founders Peter Thiel’s Founders Fund, Max Levchin, and Scott Banister. Clear’s investors include Composite Capital, Sequoia Capital, and SAIF Partners. Please visit – Twitter, Instagram, LinkedIn, Facebook and YouTube for latest updates on Clear.