Requirement for deducting tds
This query is : Resolved
20 August 2015
Dear Members,
According to 194C, TDS should be deducted when any single bill amount is more than Rs. 30,000 or total payment amount goes above is Rs. 75,000 in a single financial year.
My question is that, company has paid Rs.35,000 to contractor for a single bill and TDS is deducted on the same. After that company has made payment to same contractor amounting to Rs.20,000/- in the same financial year. Is company liable to deduct TDS on Rs.20,000/- even if total payment is not exceeding Rs.75,000/- limit in a year.
According to 194C, TDS should be deducted when any single bill amount is more than Rs. 30,000 or total payment amount goes above is Rs. 75,000 in a single financial year.
My question is that, company has paid Rs.35,000 to contractor for a single bill and TDS is deducted on the same. After that company has made payment to same contractor amounting to Rs.20,000/- in the same financial year. Is company liable to deduct TDS on Rs.20,000/- even if total payment is not exceeding Rs.75,000/- limit in a year.
CA R SEETHARAMAN
(Expert)
20 August 2015
No TDS applicable for the payment of Rs 20,000 as total payment not exceeding Rs 75,000.
Message likes :
1 times
CA Ayush Agarwal
(Expert)
20 August 2015
Agreed with Seetharamanji.
These are two separate conditions, You need to check each at the time of deduction.
In first Case 35k- One Criteria is fulfilled. (Exceed 30k)
In second Case:- Both criteria not applicable, hence No TDS Applicable.
These are two separate conditions, You need to check each at the time of deduction.
In first Case 35k- One Criteria is fulfilled. (Exceed 30k)
In second Case:- Both criteria not applicable, hence No TDS Applicable.
Message likes :
1 times
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
- EPF ECR NEW FILE SEP 17TH 2026
- Gst registered proprietorship firm
- GST Intimation due to Government took possession of Business Premises under PPE Act
- TDS on purchase of under construction property from a reseller
- Capitalgain tax purposes for valuation report compulsory
- Non filing of I T Returns
- SALARY CAN BE CAPITALIZE
- TDS on Fixed Assets purchased
- SECTION 393(3) TAX ON CASH WITHDRAWAL
- TAX AUDIT ON PROFESSIONAL INCOME
- Under marginal scheme
- Import of Software Service.
- Clarification Requested: Gift → NRO → NRE → Overseas Transfer - USA/CANDA (FEMA & Tax Compliance)
- GST on Renting godown to KFCSC for Storage of Raagi
- How to Handle Active E-Invoices in GST Portal Deleted from Tally?
- IMPORT PURCHASE ENTRY PASSED IN BOOKS OF ACCOUNT
- FAST DS 26 Undisclosed Foreign Asset Disclosure Scheme 2026
- Regime change
- Goods sold but invoice not issued
- Tally: Imported bank entries do not show up in manual reconciliation
Trending Online Classes
-
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English
CA Bhanwar Borana & CA Shubham Keswani
Subscribe to Pro
Join an elite circle of professionals
CAclubindia
