TDS & Payroll
Form 138 vs Form 24Q: New Salary TDS Return from April 2026
Form 138 replaces Form 24Q for salary TDS reporting under the Income-tax Act, 2025. See the quarterly due dates and transition rules for payroll teams.
From Tax Year 2026-27, salary TDS reporting moves to Form 138, replacing old Form 24Q for new-law periods.
Who files Form 138?
Employers deducting TDS on salary are the main users. The form also covers the specified bank reporting cases provided under the new framework.
Quarterly due dates
The familiar quarterly schedule continues:
- Q1: 31 July
- Q2: 31 October
- Q3: 31 January
- Q4: 31 May of the following year
What about FY 2025-26 corrections?
A correction relating to salary TDS for a period up to March 2026 continues under the old Act and old form framework, even if the correction is filed after 1 April 2026.
Payroll transition checklist
- Update payroll/TDS form mapping.
- Use Section 392 for salary TDS under the new Act.
- Keep old-year and new-year correction files separate.
- Reconcile Form 138 with payroll, challans and employee records.
- Check annual salary certificate data before issue.
The new form number changes, but payroll reconciliation discipline remains the same.