What does online correction replace?
Online correction is the route that skips the consolidated file. The older way to correct a filed TDS statement is to request a conso file, wait for it, import it into filing software, make the change and file a correction statement. Online correction does the same job from the browser.
The tutorial sets out the trade in four terms. There is no fee. There is no conso file to request and no wait for it to become available, and the correction is processed in 24 hours. No software, CD or pen drive is needed. And the correction can be aimed at a specific error rather than at the whole statement.
One limit is worth knowing before starting: online correction is not available for a return filed on paper.
Which corrections are available, and which need a digital signature?
The correction types are not interchangeable, and each carries its own starting year and its own digital signature requirement.
- Challan correction for an unmatched challan, adding a new challan to the statement, clearing interest and late fee demand, and moving a deductee row off an overbooked challan. All four reach back to financial year 2007-08 and need no digital signature.
- Personal information changes also reach back to 2007-08, but do require one.
- Adding or modifying deductee rows, editing a deductee row where the challan is unmatched, and adding or deleting salary details are available from financial year 2013-14 and need a signature.
- PAN correction runs from 2007-08 with a signature.
- PAN correction through Annexure III, and adding or deleting pension and interest of a specified senior citizen through Annexure III, both start at financial year 2021-22.
What does each request status mean?
A correction request moves through a defined set of states, and knowing them saves guessing at what has stalled.
- Requested means the request has been submitted.
- Initiated means it has started.
- Available means the statement is ready to be corrected, and clicking that status takes the user to the validation screen and moves the request to In Progress.
- Submitted to Admin User means a sub user has passed the correction up, because only the admin user can send it on.
- Submitted to ITD means the admin user has sent it for processing.
- Processed means CPC for TDS has processed the statement.
- Rejected means it was rejected after processing, with the reason shown in the remarks column.
- Failed means a technical error prevented the request, and the same request can be submitted again.
Why does a correction get blocked?
Most blocked corrections come down to the statement not being in a state TRACES can work on, or the account not matching the statement.
- A statement that TRACES has not processed cannot be corrected online at all, and the fix routes through a correction filed with the conso file elsewhere first.
- A mismatch between the PAN of the authorised person in the TRACES profile and the PAN in the personal information of the statement blocks the correction until the two agree.
- A correction already in progress for the same period blocks a second request for it.
How to file an online correction on TRACES
On tdscpc.gov.in, signed in as the employer
Log in to TRACES as a deductor
Log in with the user id, password, TAN of the deductor and the verification code. The landing page is displayed.
TRACES e-Tutorial, Online Correction, Add Challan to the Statement, p. 5
Raise the correction request
Go to Request for Correction under the Defaults menu.
TRACES e-Tutorial, Online Correction, Add Challan to the Statement, p. 5
Select the period and the online category
Enter the relevant financial year, quarter and form type, set the correction category to Online, and click Submit Request.
TRACES e-Tutorial, Online Correction, Add Challan to the Statement, p. 5
Track the request until it is available
The request appears under Track Correction Request. When the status becomes Available, click the Available or In Progress status to proceed with the correction.
TRACES e-Tutorial, Online Correction, Add Challan to the Statement, p. 5
Validate KYC
Complete KYC validation for the statement. The digital signature supported validation screen appears only where a digital signature is registered.
TRACES e-Tutorial, Online Correction, Add Challan to the Statement, p. 5
Choose the correction type
After KYC validation, select the type of correction from the dropdown. The type chosen determines what can be edited and whether a digital signature is needed.
TRACES e-Tutorial, Online Correction, Add Challan to the Statement, p. 5
Make the correction and submit it
Make the required changes in the selected statement and click Submit for Processing. Only the admin user can submit a correction for processing.
TRACES e-Tutorial, Online Correction, Add Challan to the Statement, p. 5
Keep the token number
A 15 digit token number is generated on submission and sent to the registered email address. It is the reference for the correction.
TRACES e-Tutorial, Online Correction, Add Challan to the Statement, p. 5
What goes wrong
| Symptom | Cause | Fix |
|---|---|---|
| Online Correction on TRACES is not enabled for the requested statement | The statement for that form type, financial year and quarter has not been processed by TRACES. | File a correction statement with the conso file through the filing intermediary first. Once TRACES processes it, online correction becomes available for that statement.TRACES e-Tutorial, Online Correction, Add Challan to the Statement |
| PAN of authorised person does not match the statement | The PAN of the authorised person in the TRACES profile differs from the PAN in the personal information of the statement, or the statement carries none. | Update the PAN in the personal information of the statement so it matches the profile, or update the profile to match the statement.TRACES e-Tutorial, Online Correction, Add Challan to the Statement |
| No data available for specified search criteria | The details entered do not match the financial year, quarter, form type and latest token number, or the statement was cancelled or rejected for the criteria given. | Re-enter the details against the latest token number for that statement.TRACES e-Tutorial, Online Correction, Add Challan to the Statement |
| Request for correction has already been submitted for the specified search criteria | A correction has already been initiated for that period and is sitting at In Progress status with the deductor. | Check the status under Track Correction Request in the Defaults menu and continue the existing correction rather than raising another.TRACES e-Tutorial, Online Correction, Add Challan to the Statement |
| Request has been submitted to Admin User | The correction was raised by a sub user. Only the admin user has the authority to submit an online correction. | Have the admin user submit the correction for processing.TRACES e-Tutorial, Online Correction, Add Challan to the Statement |
| Reason for non deduction is mandatory | Zero has been entered in the total TDS deducted and deposited column while adding or modifying a deductee row. | State the reason for non deduction against that row rather than leaving the amount at zero with no reason.TRACES e-Tutorial, Online Correction, Add Challan to the Statement |
| Amount claimed exceeds the balance in the challan | The increase claimed as interest, as other, or as levy is greater than the remaining available balance in the challan. | Claim within the remaining balance of the challan, or add a challan to the statement to cover the difference.TRACES e-Tutorial, Online Correction, Add Challan to the Statement |
| No challan available for tagging for the financial year | The tutorial gives two causes: a book entry flag set to Yes that should be No, or an incorrect TAN or assessment year on the challan. | Correct the book entry flag through challan correction. Where the TAN or assessment year on the challan is wrong, the assessing officer has to make that change.TRACES e-Tutorial, Online Correction, Add Challan to the Statement |
| System has encountered some technical problem | The tutorial attributes this to the browser environment: an out of date Java version, browsing history and cookies that need clearing, a pop up blocker that is not enabled, or an incompatible browser. | Update Java and restart the machine, clear history, cookies and temporary files, and use a compatible browser before retrying.TRACES e-Tutorial, Online Correction, Add Challan to the Statement |
Steps last read from the source documents on
Frequently asked questions
Does TRACES charge for online correction?
No. The tutorial states that TRACES does not charge any fee for doing online correction.
Can I add a challan to a statement offline?
No. The tutorial states that the add challan function is disabled in offline correction, so adding a challan to a filed statement has to be done online.
Which online corrections need a digital signature?
Personal information, PAN correction, adding or modifying deductee rows, editing a deductee row where the challan is unmatched, adding or deleting salary details, and the two Annexure III corrections. Challan correction, adding a challan, paying interest and late fee demand, and moving a deductee row off an overbooked challan do not.
Who can submit an online correction?
Only the admin user. A sub user can prepare a correction but it moves to Submitted to Admin User status until the admin user sends it to the department.
How long does an online correction take to process?
The tutorial states the correction gets processed in 24 hours.
Where Engage fits
The corrections that recur are deductee rows with a wrong PAN and deductions computed on a stale declaration. Engage validates PANs and computes deduction from the declarations on record at the time of the run, so the statement that reaches TRACES matches what payroll actually did.
See Engage Payroll