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Justification Report

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A justification report is the document TRACES produces listing the defaults and errors the Income Tax Department identified while processing a TDS statement for a quarter. It reports them at transaction level, which is what lets a deductor find and fix the specific rows at fault.

What does a justification report tell you?

A justification report is the itemised version of a TDS demand. When a statement is processed and defaults are raised against it, the intimation says what is owed. The justification report says which transactions produced it, at the level of individual rows in the statement.

That is what makes the document worth requesting. A short deduction demand on a quarter is not actionable on its own. The same demand broken down to the deductee rows that were short is, because those are the rows a correction has to touch.

When is a justification report available?

The report is generated only where the statement status is processed with default. The tutorial is explicit that a request can only be submitted in that state, and that the report will not be available where a statement was processed without default.

This is worth checking before raising a request rather than after. The statement status sits under the statements and payments tab, and a request raised against a clean statement returns a status of Not Available rather than a report.

How do you get it into a readable form?

Two steps stand between the download and something a person can read. The downloaded file arrives as a ZIP, and has to be extracted with a password built from the statement it belongs to. That password is JR, then the TAN, the form type, the quarter and the financial year, in the form JR_AAAA11111A_24Q_Q3_2010-11.

What comes out is not a spreadsheet. Converting it into Excel requires the justification report Excel generation utility from TRACES, and the tutorial directs the deductor to download the latest version of it rather than reusing an old one. The converted file is written to a destination folder chosen during the conversion.

Getting a downloaded justification report into a readable formThe download is neither readable nor a spreadsheet. It is extracted with a password built from the statement it belongs to, then converted by the TRACES Excel generation utility.1Arrives as a ZIP2Extracted with a passwordJR, then the TAN, form type, quarter and financial year3Converting it into ExcelWith the TRACES Excel generation utility4Written to a destination folderChosen during the conversion
The download is neither readable nor a spreadsheet. It is extracted with a password built from the statement it belongs to, then converted by the TRACES Excel generation utility.

What does each request status mean?

The statuses on a justification report request carry one more value than most TRACES downloads.

  • Submitted means the request is in processing.
  • Available means it is ready.
  • Disabled means a duplicate request was raised.
  • Failed directs the deductor to contact CPC for TDS.
  • Not Available carries specific information: it means the statement was processed without default, so there is no report to produce.

How to download a justification report from TRACES

On tdscpc.gov.in, signed in as the employer

  1. Check the statement status first

    Check the statement status under the statements and payments tab. A request for a justification report can only be submitted where the status is processed with default.

    TRACES e-Tutorial, Justification Report Download, p. 3

  2. Log in to TRACES as a deductor

    Go to www.tdscpc.gov.in and log in with the user id, password, TAN of the deductor and the verification code, with the deductor option selected.

    TRACES e-Tutorial, Justification Report Download, p. 5

  3. Open the justification report request

    Under the Defaults tab, click Request for Justification Report Download.

    TRACES e-Tutorial, Justification Report Download, p. 7

  4. Select the period

    Select the financial year, quarter and form type for which the justification report is required, and click Go. The validation screen follows.

    TRACES e-Tutorial, Justification Report Download, p. 8

  5. Validate KYC

    The KYC validation screen appears. Where a digital signature is registered, the digital signature supported KYC screen is shown and the DSC password is entered to sign. Otherwise normal KYC validation is completed for this request on its own.

    TRACES e-Tutorial, Justification Report Download, p. 9

  6. Note the authentication code and request number

    Validating KYC generates an authentication code valid for the same calendar day for that financial year, form type and quarter. On successful submission a unique request number is generated.

    TRACES e-Tutorial, Justification Report Download, p. 3

  7. Find it under requested downloads

    The justification report appears under Requested Downloads in the Downloads section, searchable by request number, by date, or by viewing all.

    TRACES e-Tutorial, Justification Report Download, p. 18

  8. Download once the status is Available

    When the requested status shows Available, download the report using HTTP Download.

    TRACES e-Tutorial, Justification Report Download, p. 20

  9. Extract it with the password

    The file arrives as a ZIP and is extracted with the password JR, the TAN, the form type, the quarter and the financial year in the form JR_AAAA11111A_24Q_Q3_2010-11.

    TRACES e-Tutorial, Justification Report Download, p. 2

  10. Convert it to Excel

    Download the latest version of the justification report Excel generation utility from TRACES and run the conversion. The report is converted into Excel and saved in the destination folder selected during the conversion.

    TRACES e-Tutorial, Justification Report Download, p. 27

What goes wrong

SymptomCauseFix
The request status shows Not AvailableThe statement was processed without default, so there are no defaults to report.No action is needed on the statement. A justification report only exists where the status is processed with default.TRACES e-Tutorial, Justification Report Download
The request cannot be submitted at allA justification report request is only accepted where the statement status is processed with default.Check the statement status under the statements and payments tab before raising the request.TRACES e-Tutorial, Justification Report Download
The downloaded file will not openThe download is a password protected ZIP, and the password is specific to the statement rather than to the account.Use JR, the TAN, the form type, the quarter and the financial year in the form JR_AAAA11111A_24Q_Q3_2010-11.TRACES e-Tutorial, Justification Report Download
The extracted file is not readable as a spreadsheetThe extracted justification report is not an Excel file and needs converting.Download the latest version of the justification report Excel generation utility from TRACES and use it to convert the file.TRACES e-Tutorial, Justification Report Download

Steps last read from the source documents on

Frequently asked questions

What is the password for a justification report?

JR, the TAN, the form type, the quarter and the financial year, in the form JR_AAAA11111A_24Q_Q3_2010-11, which is the example the tutorial gives.

Why is my justification report not available?

A justification report is only generated where the statement was processed with default. A status of Not Available means the statement was processed without default, so there is nothing to report.

How do I open a justification report in Excel?

Download the latest version of the justification report Excel generation utility from TRACES and run the conversion. The converted file is saved to the destination folder chosen during conversion.

How far back are justification reports available?

From financial year 2007-08 onwards on the TRACES website.

Where Engage fits

Short deduction and PAN error defaults are the two that recur, and both start in payroll rather than at TRACES. Engage validates deductee PANs and computes deduction against the declarations on record before the statement is produced, which is where those defaults are cheapest to prevent.

See Engage Payroll
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