Tds

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

26 November 2014 I have paid Loan Pre-payment charges to India Infoline Finance Limited of Rs. 11,23,600/- This amount include Service Tax @ 12.36%.

I have deducted tds on the whole amount for Rs. 1,12,360/-

My question is Whether I should deduct TDS on Rs. 10,00,000/- or on Rs. 11,23,600/-?

If I deduct TDS on Rs. 10,00,000/- then difference amount of Rs. 1,23,600/- whether disallow as per Income Tax Act?

Please do the needful at the earliest.

With Best Regards,

Savan Kasliwal
9922440692

CS,CA F,Numrologi TusharSampat

CS,CA F,Numrologi TusharSampat (Expert)
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26 November 2014 tds is not dedcutible on service tax amount as per circular no 1/2014.

Querist : Anonymous

Querist : Anonymous (Querist)

26 November 2014 Thanks for your fast reply.

As per Circular No. 1/2014 is applicable only for Sec. 194 - I & Sec. 194 - J. However; I have deducted TDS under Sec. 194 - A.

So, in this case this circular is applicable?

CS,CA F,Numrologi TusharSampat

CS,CA F,Numrologi TusharSampat (Expert)
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26 November 2014 no, it uses the words tds and not applicable to specific but on all section from sec 192-196D this circular is applicable.

Querist : Anonymous

Querist : Anonymous (Querist)

26 November 2014 I had gone through with the Circular No. 1/2014 but I did not found TDS word used. Where it is used TDS word?

Querist : Anonymous

Querist : Anonymous (Querist)

26 November 2014 If I deducted TDS on including Service Tax amount, in this case whether Deductee would suffer any loss?