TDS under Section 192 for Contractor Eligible for Section 44 ADA
This query is : Resolved
04 July 2023
Hi,
If a company is calculating TDS for a contractor who qualifies for Section 44 ADA, should one check the tax slab after applying the allowed deduction of 50%? Background -- We need to pay professional fee to a Doctor who is eligible for presumptive taxation under Section 44 ADA. The contract is in the nature of Employer-Employee relationship because there are several restrictions on the Doctor's ability to work elsewhere. This means that TDS should be calculated under Section 192. (https://taxguru.in/income-tax/payment-independent-consultants-liable-deduction-194j-192.html )
Kindly guide.
Regards,
If a company is calculating TDS for a contractor who qualifies for Section 44 ADA, should one check the tax slab after applying the allowed deduction of 50%? Background -- We need to pay professional fee to a Doctor who is eligible for presumptive taxation under Section 44 ADA. The contract is in the nature of Employer-Employee relationship because there are several restrictions on the Doctor's ability to work elsewhere. This means that TDS should be calculated under Section 192. (https://taxguru.in/income-tax/payment-independent-consultants-liable-deduction-194j-192.html )
Kindly guide.
Regards,
04 July 2023
If you are giving him salary and going to deduct TDS u/s. 192, in that case no need to calculate 50% amount. TDS u/s. 192 is deducted based on slab rate.
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
- TDS 194-T applicability
- Fixe term employment
- Is any professional CA is here please reply
- GST ITC REVERSE
- Foreign lottery ticket bought online from India: legality, tax and consequences
- Reprocessing of rectification order AY 2025-26
- Section 50-fixed asset-->building ceases to exist
- Putting a heading on received mail
- RCM ISSUE ON RENT AND TRANSPORTATION CHARGES
- Consolidated financials
- Regime change
- Goods sold but invoice not issued
- Tally: Imported bank entries do not show up in manual reconciliation
- Sales of goods of amount Rs97 lakhs to a party
- Confused About My Career After 12th — Cyber Security, AI or Finance? Need Guidance
- STATUTORY AUDIT OF A SMALL PRIVATE COMPANY INCORPORATED ON 28.03.2025
- Guidance Needed: Linking Multiple Form 26QB Payments and Responding to ITD Defaulter Notice
- How to pay remaining amount of TDS after due date?
- Resigning a auditor from the company for misconduct
- RCM @ 5% on Hamali charges, Transport Charges, Unloading charges we take ITC or not
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
