Tds

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

04 February 2015 For eg: i have taken a professional services from a party whose bills are for Rs. 12370/- each aggregating less than 30000/- in the current financial year. However billing of the same party for last year was above 30000/- so TDS deducted in the last year. so whether TDS liable to be deducted in current year on the bill of Rs. 12370/-?

Sandeep Dharar

Sandeep Dharar (Expert)
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04 February 2015 TDS is has no relation with previous or coming year. Hence, If the criteria mentioned u/s 194J is applicable in the transaction then u must have to deduct TDS on the transaction.

Visit the following link for sec. 194J:-

http://taxguru.in/income-tax/section-194j-faqs-tds-fees-professional-technical-services.html

Querist : Anonymous

Querist : Anonymous (Querist)

04 February 2015 but my main doubt in this is that if we have deducted TDS of that party last year, however in current year he provided service of less than the exempted limit, so will TDS be deducted on such amount(12370/-)?

Sandeep Dharar

Sandeep Dharar (Expert)
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04 February 2015 That's what I explained above dear. Read it carefully.

There is no relation of TDS with previous year. Hence if the limit doesn't crosses then there is no requirement to deduct TDS in current year.

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