194c payment to contracter tds

Agree with All

TDS to be deducted on Rs.90000.

Since the amount has exceeded Rs 75000/- which is the threshold for one year you must deduct the TDS for whole amount of Rs 90000/-.

TDS shall be deducted on 90,000/-

in sec 194C it has been given either Rs.30000 per payment or Rs. 75000 per year. Therefore even if individual payments do not exceed Rs30000 and the entire payment for the year exceeds Rs75000 then TDS will be deducted on the entire amount.

full amount 90,000/- agree with all

Such small value transactions are, most of the time, by people whose income itself does not cross the BEL or subject to Tax Audit. Hence, such payments below Rs. 75000 are excluded.

Rs 75,000 is not a type  of exemption but rather a threshold.

Hence, tax to be deducted on the entire amount if it crosses the limit & it;s applicable to all TDS sections.

On whole amt 90000