Tds u/s 194c

This query is : Resolved

Aalok (Querist)
Follow

31 May 2013 Have a small query related to Sec 194C.

All my bills are petty and it consists of around 10 bills. If i add up all the bills the amount comes to Rs 32000. And if i make a lumpsum payment of Rs 32000 as a single payment will TDS provisions attract???

Will i be liable to deduct TDS u/s 194C

Thanks & Rgds
Aalok

Ganeshbabu K

Ganeshbabu K (Expert)
Follow

31 May 2013 Yes,

TDS will be applicable

Message likes : 1 times

Aalok

Aalok (Querist)
Follow

31 May 2013 But the act also talks about either credit or payment whichever is earlier. So in that case i have credited in my books with amount less than Rs 30,000.

Hope am clear and not creating a confusion

Ganeshbabu K

Ganeshbabu K (Expert)
Follow

31 May 2013 Please refer sec.194c

https://alturl.com/2zbi2

you are liable to deduct tds basing on either credit or payment which ever is earlier,

but if you are paying more than 30000 in a single payment tds will be applicable see subsection 5 of 194C

you can avoid tds by splitting it into two payments on a different dates.

but tds will be applicable if your single payment exceeds 30000

Message likes : 1 times

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