10(23d)

Save Share

This query is : Resolved

Quick Summary

This discussion clarifies that no TDS needs to be deducted on dividends paid to a mutual fund, as they are exempt under Section 10(23D). It also addresses a query regarding Section 194Q, confirming that TDS applies to the portion of a purchase exceeding £50,000, not the entire amount. Therefore, for a £60 lakh purchase, TDS under 194Q is only required on the £10 lakh that exceeds the threshold.

Chandrasekhar Reddy J

Chandrasekhar Reddy J (Querist)

07 October 2021 we are paying dividend to a Mutual fund and they are comes under 10(23D)
my Question is whether we need ti deduct TDS on dividend

Dhirajlal Rambhia

Dhirajlal Rambhia (Expert)

07 October 2021 NO. Mutual Fund are exempted from the deduction u/s. 194.

Chandrasekhar Reddy J

Chandrasekhar Reddy J (Querist)

09 October 2021 I WOULD LIKE TO ASK ANOTHER QUESTION SIR
iam comes under sec 194Q
for the first time we are purchasing goods from the party value 60 lakhs , Whether we are required to deduct TDS on whole amount or 10 lakhs

Dhirajlal Rambhia

Dhirajlal Rambhia (Expert)

09 October 2021 TDS u/s. 194Q of the act, to be deducted on Rs.10 lakhs .... (Total value of purchase - 50 Lakhs)

You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now