Tds on technical service
This query is : Resolved
27 December 2014
Dear my friend is running a proprietor concern & expected turnover for the F.Y. 2014-15 will be around Rs. 85-90 Lacs. & tentative NP will be below 8%.
Today, he want to take a technical service by a individual technician for betterment in production.
He will get Rs. 20000/- per week & the total amount will be Rs. 80000/- for 4 weeks.
My question, Should we deducted Tax while giving him technical fee?
Please advise.
Today, he want to take a technical service by a individual technician for betterment in production.
He will get Rs. 20000/- per week & the total amount will be Rs. 80000/- for 4 weeks.
My question, Should we deducted Tax while giving him technical fee?
Please advise.
27 December 2014
An Individuals or an H.U.F. is not liable to deduct TDS on such payment except where the individual or H.U.F. is carrying on a business/profession where accounts are required to be audited u/s 44AB, in the immediately preceding financial year.
A person is liable to get its accounts audited u/s 44AB if during the relevant financial year its gross sales, turnover or gross receipts exceeds Rs. 1 Crore (A.Y. 2015-16) (Rs.60 lacs for A.Y.2012-13) in case of a business, or Rs. 25 lacs (A.Y.2015-16) (Rs. 15 lacs for A.Y. 2012-2013) in case of a profession.
So if u r not liabile for tax audit in previous year then u need not to deduct tds
A person is liable to get its accounts audited u/s 44AB if during the relevant financial year its gross sales, turnover or gross receipts exceeds Rs. 1 Crore (A.Y. 2015-16) (Rs.60 lacs for A.Y.2012-13) in case of a business, or Rs. 25 lacs (A.Y.2015-16) (Rs. 15 lacs for A.Y. 2012-2013) in case of a profession.
So if u r not liabile for tax audit in previous year then u need not to deduct tds
27 December 2014
CA with Mr. Annkit, his opinion is based on Section 194J, 44AD and section 44AB
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
- Tax Audit Applicability – Newly Formed Partnership Firm with Profit Below 6%/8%
- TDS CREDIT MISMATCHING
- Buy back of shares u/s69
- TODAY INCOME TAX SITE IS NOT WORKING ANY OFFICIAL EXTENSION
- Can we choose not to report losses in ITR3 if they cannot be carried forward?
- ITR 4 and Bank transactions
- IS AUDIT MANDATORY IF COMMISSION INCOME IS MORE THAN 50 LAKH
- HOUSING LOAN ISSUE
- Sec 44ada applicable only or both
- RELATED TO TRIBUNAL APPEAL
- CALCULATION OF DEFFERED TAX - OP BL IS DTL & CURRET IT DTA
- LLP audit under companies act
- Experienced CA recommendation from Kolkata for FNO return filing
- Interest Reporting in Form 168
- Sales of goods of amount Rs77 lakhs to a party
- Tax Demand of ₹4,650 for AY 2026-27
- Concept of Vendor and customner reconciliation
- Mistake in e-invoice identified after 24 hours
- EXPORT PAYMENT
- NRI ITR2 account in 2025-26.
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
