Tds - section 194b

TDS 1727 views 6 replies

 

Hi,

I need help on the following matters:

1. I need a PDF document of Income Tax Act (As amended by the finance act 2012)

2. I need to understand the TDS implications under section 194B, which is for winnigs from Lotteries, crossword puzzles, card games, etc.

I want to know if the TDS is calculated at the time of each payment which exceeds Rs.10000 or a cumulative total of Rs.10000 in a particular financial year.

Scenarios

Case 1 - A person wins Rs.12000 from poker. The TDS would be calculated on what amount ?

Case 2 - A persons wins Rs.8000 from poker and withdraws. Later he wins Rs.7000 more and withdraws it in the same financial year. On what amount the TDS would be calculated?

And what would happen if he wins more even after that, in the same financial year?

Case 3 - A person playing on an online website, deposits Rs.5000 and later on withdraws Rs.14000. Will TDS be calculated in such a case? If yes, on what amount?

Case 4 - What is a person's winnings amount is exactly 10,000? Is TDS applicable on it?

Please advice on the above matter.

 

Replies (6)

Dear TDS is deducted on single payments not cumulative ones.

case-1 TDS will be deducted on 12000

case-2 In this case no TDS will be deducted as the single payments are not qualifying the TDS limit of more than Rs 10000.

case-3 TDS will be deducted on 14000

case-4 TDS will not be deducted on 10000

The TDS limit is more than10000 

 

Hope ur doubt is solved....

Thanks Anjali.

But are you 100% sure about this?

What if a person keeps getting payments worth Rs.9999 every day?

TDS is not applicable in such cases?

 

Please advise.

No, TDS will not be deducted...

But this way, the person would be evading tax..

Don't worry Rahul, Anjali is absolutely correct.


CCI Pro

Leave a Reply

Your are not logged in . Please login to post replies

Click here to Login / Register  

Related Threads
Loading