07 August 2015
Please help me out for the following question?
Mr. A is a agent in property deal and suppose he earns Rs. 2 crores as a commission from the property deal for which the TDS has been deducted u/s 194H @ 10%. And Mr. A deposit the remaining amount of Rs. 1.80 crores in Fixed Deposit as an investment.
Question-1) Whether the tax will be applicable for Rs. 1.80 crores which has been kept as FD OR not??? OR tax will applicable only for the interest on FD???
Question-2) If Mr. A gets Rs. 2 crores without deducting TDS and invest the whole amount as FD, then whether tax will be applicable on Rs. 2 crores or not OR only on the interest component of FD???
07 August 2015
1 Tax will be applicable on 2 crore. Income tax return has to be filed and applicable tax has to be paid besides TDS. Tax also applicable on FD interest. 2 Tax payable whether TDS deducted or not.