Cash paid more than 20000 to a non-resident

This query is : Resolved

Nithyanandaraman L (Querist)
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05 December 2014 Dear Experts please clarify the following

Non- resident gave a speech in collage for 14 days and for his speech collage paid Honorarium amounting to Rs.42000 (i.e Rs.3000 per day for 14 days) in cash in a single day

Here please clarify whether this payment is disallowed or not provided if non-resident is not having any bank account in India and TDS applicability for the same

CA Parul Saxena

CA Parul Saxena (Expert)
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05 December 2014 yes the amount will be disallowed

Nithyanandaraman L

Nithyanandaraman L (Querist)
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05 December 2014 Dear sir please advice how to handle this whether can i pay this 42000 by splitting it into 3 payments in 3 different days by making 3 seperate vouchers

or some other ways and

Tds applicability on the same

CA Parul Saxena

CA Parul Saxena (Expert)
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05 December 2014 yes you can make payment in 3 different days for avoiding disallowance.

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Rupesh Jain

Rupesh Jain (Expert)
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05 December 2014 you can pay by cheque or bank tfr or make payment in 2-3 days and also tds applicable u/s 195 @ 10% if PAN available with the non resident otherwise 20% tds will applicable.

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Nithyanandaraman L

Nithyanandaraman L (Querist)
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05 December 2014 thank you very much for your kind reply sir

Nithyanandaraman L

Nithyanandaraman L (Querist)
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05 December 2014 Dear Rupesh sir

Is there any Slab limit for Deducting TDS on payments made to Non-Resident or TDS is applicable on any payments even for just small amounts like 1000 rupee also

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