on services that the government specifies, and the tax is deducted by using the rates that the government specifies for a period. The rate of deduction is based on the status of the entity that receives the payment or provides the service. Statuses includeIndividual,Hindu Undivided Family(HUF)...
The provision of section 203A of the Income Tax Act states that the people who require deducting tax at source have an obligation to acquire a TAN. TAN is referred to Tax Deduction and Collection Account Number. It is mandatory to mention TAN in the TDS return, certificate and payment challa...
The following example will help explain the scope of this TDS provision. Your turnover for the financial year that ended March 31, 2020, exceeded Rs. 10 crore, and the value or aggregate of your purchase of goods from the seller exceeded Rs. 50 lakh in the previous year. Therefore, the...
TDS stands for Tax Deducted at Source is tax levied on any income or profit on periodic intervals by the Indian authorities. As per provision of the Income Tax Act 1961, income tax must be deducted at origin or source before paying the accounting balance to the individual (payee). ...
As per Income Tax Act 1961 a new provision relating to tax deduction at source (TDS) has become applicable w.e.f. 01/04/2010, under which it is obligatory for every person, who is liable for deduction of TDS on interest on deposit, to furnish a copy of PAN card. If the PAN card...
The Union Budget 2025-26 brings notable changes to tax deduction and collection processes, aimed at streamlining compliance and administrative procedures. These amendments focus on revising thresholds, removing redundant provisions, and…Read more » ...
If by mistake the user deducts TDS on both Invoice and payment separately then at the time of settlement of invoice with payment TDS on the later transaction should reverse. Example Threshold value: 5000 Invoice amount: 7000 TDS @0.1% TDS deduction: Description Dr. Cr....
For detailed information regarding TDS calculation on remuneration income, please refer to the brochure "Provision of Taxation for Remuneration Income in Income Tax Act 2058". C. Interest payments, natural source payments, rent payments, royalties, service ...
responsibilities of withholding agencies concerning deduction, deposit and accounting of TDS. All should note that the information provided in this booklet is based on the tax laws and rules in force at the time of printing. Any changes to the provisions will be informed and ...
These payments range widely, including professional fee, salary, commission, interests, rents, and so on. The deductor/buyer (person making the payment) is required to deduct Income tax at the rates in force. The person who receives the payment after the deduction of tax is called the ...