TDS

This query is : Resolved

CA Manoj Solanki (Querist)
Follow

20 December 2009 Pl answer for this.. As per Sec 194J TDS is required to be deducted for professional services where the payment exceeds Rs.20,000 a year. Now what if the payment is made by way of Professional charges-Rs.19.000; Technical charges-Rs.19,000 and Consultancy Charges-Rs.19,000. Will the entire income be exempt from tax since the individual nature of fees does not exceed Rs.20,000??

CMA Ramesh Krishnan

CMA Ramesh Krishnan (Expert)
Follow

20 December 2009 No, Threshold limit is based on the person ,if you are paying all these charges to one person you have to Deduct TDS

Murtaza I Bhagat

Murtaza I Bhagat (Expert)
Follow

20 December 2009 agree, these all in subject u/s 194J so in combinedly if you are paying to one person so the total of payment exceeds to threshold limit.so you must have to deduct TDS on it.

Ravinder

Ravinder (Expert)
Follow

20 December 2009 Yeh I am agree form Mr.Murtaza and ramesh karishan

If you are going to made the above mention payments to a single person then you have to deduct the TDS

CMA Ramesh Krishnan

CMA Ramesh Krishnan (Expert)
Follow

20 December 2009 Thank you

ANIL JANGID

ANIL JANGID (Expert)
Follow

20 December 2009 agree

Maneesh

Maneesh (Expert)
Follow

21 December 2009 Total amount which you have paid to party is more than 50000 than you need to deduct TDS on whole amount irrespective of the individual amount paid is less than 20000.

You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now