Less deduction of TDS
This query is : Resolved
05 July 2009
During audit of a PSU i found on certain expense (payment exceeding Rs 1 crore), TDs has been deducted @ 2.6%. Surcharge though applicable but was not deducted. Tell me consequences as the last date for deposit of TDS for FY 2009-10 i.e 31st May, 2009 has been passed.
05 July 2009
proportionate exp will be disallowed u/s 40.
for the month of march, u can deposit it upo 30th sep to allow it.
for the month of march, u can deposit it upo 30th sep to allow it.
06 July 2009
Hi,
As per section 40(ia) , tax has to be deducted as per the prescribed . If the tax is not deducted at prescribed rate or deducted at low rates then whole of the expenses will be disallowed. In my opinion there is no provision for proportionate allowance of expenses.
In your case, as the surcharge is not deducted whole expenses will be dissallowed.
Experts plz clarify if any other consequences are there.
As per section 40(ia) , tax has to be deducted as per the prescribed . If the tax is not deducted at prescribed rate or deducted at low rates then whole of the expenses will be disallowed. In my opinion there is no provision for proportionate allowance of expenses.
In your case, as the surcharge is not deducted whole expenses will be dissallowed.
Experts plz clarify if any other consequences are there.
07 July 2009
only proportionate expenditure will be disallowed.
you can take as only for such amount has been deducted fully n for others not deducted. and so proportionate wil only be disallowed
you can take as only for such amount has been deducted fully n for others not deducted. and so proportionate wil only be disallowed
07 July 2009
Expense is disallowed only if
1) Tax is not deducted
2) Tax is deducted but not paid to CG treasury.
So, there will not be any disallowance.
But penal provision for non-compliance of TDS procedures can be attracted.
1) Tax is not deducted
2) Tax is deducted but not paid to CG treasury.
So, there will not be any disallowance.
But penal provision for non-compliance of TDS procedures can be attracted.
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now
Click here to login now
Similar Resolved Queries
Unanswered Queries
- GSTR-1A How to update Invoice
- Excess salary payment.
- INTEREST APPLICABLE ON ITC REVERSAL PORTION
- Current Account Opening for Sole Proprietorship with Udyam Certificate - Zero Turnover
- TDS on Purchase of Immovable Property by NRI from NRI
- Stamp Paper for partnership firm change new income tax 2025
- Capital gain from sale of house property
- SFT Cash Deposit in Current Account
- Copyright software
- When TDS on GST applied
- Cash gift by grand mother to her grand daughter
- Tax amount diff in Gstr1 and 3B in tax compare reports
- Tds on GST in connection with sale to public company
- Restoration of certificate of practice
- Regarding change in correspondence address in SSP portal
- No Compliences after incorporation
- USEFUL LIFE OF USED/SECOND HAND COMMERCIAL VEHICLES
- Claiming TDS deducted by builder on Hardship compensation and Corpus
- Address Change to another state of a Registered Trust with 12AB approval
- Updated return in budget 2026
Trending Online Classes
-
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English
CA Bhanwar Borana & CA Shubham Keswani
CAclubindia
