Tds

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

12 September 2011 Hie...If payment is made to a contractor during the year by a pvt ltd co. and if it exceeds d limit given ie.75000 den wther it is compulsory to cut TDS by the co even if it is not covered uder tax audit?

CA Prashant Shrivastava

CA Prashant Shrivastava (Expert)
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12 September 2011 Yes, there is no exemption for non-deduction of TDS. Tax Audit of the company is irrelevant for the TDS purpose in case of a company.

C A S.S.Agarwal, M.Com.,LL.B,

C A S.S.Agarwal, M.Com.,LL.B, (Expert)
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13 September 2011 Yes I agree with the expert

Querist : Anonymous

Querist : Anonymous (Querist)

14 September 2011 But sir do you mean the companies expenditure will be dissallowed if it does not cut tds?(turnover-20 lakhs)

Aashok Kumar Sharma online

Aashok Kumar Sharma online

(Expert)
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27 July 2025 Exactly! For a private limited company, **TDS must be deducted if the payment to the contractor exceeds ₹75,000**, regardless of whether the company is subject to tax audit or not.

Tax audit provisions don’t affect TDS compliance. The company has an independent obligation to deduct and deposit TDS as per the Income Tax Act.

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