I-T survey on Uber for non-payment of TDS for 3 consecutive financial yrs

The income-tax (I-T) department is conducting a survey on ride-hailing aggregator Uber India, alleging that it failed to deposit tax deducted at source  (TDS). 

Confirming the development, a senior I-T official told Business Standard that the survey was being conducted at Uber’s Mumbai office to examine the book of accounts and other documents at its premises. The TDS amount pending from Uber is yet to be ascertained as the survey is on. 

Sources said TDS payment was not made for three consecutive financial years.

In an emailed response, an Uber India spokesperson said, “There is a routine TDS survey in progress in our Mumbai office. We are cooperating with the authorities.”

“This year, we have found several cases where companies have not deposited TDS payments. The TDS needs to be deposited with the government in the next month,” the I-T official cited above said.

Some firms deduct TDS at the time of making payments to employees and vendors, but do not deposit it with the government on time. Both non-payment and delay are liable for prosecution, irrespective of the period of retention.

Uber India had been pulled up in the past by tax authorities over its liability to pay service tax, since it is delivering a taxable service.  The search followed directives of the Central Board of Direct Taxes to monitor TDS collection. Tax sleuths were instructed that criminal complaints should be filed on a case-to- case basis.