Give your opinion-TDS

Give your opinion whether TDS to be deducted or not:

Example:  Payment made to Contractor in year does not exceeds Rs. 75,000/- (As per Limit), cheque has been issued as under:

1.  Rs. 38,500.00 (Treat as Bill also the cheque has been issued same day)

2.  Rs. 20,000.00

3.  Rs. 16,400.00

Now tell TDS to be deducted or not becasue if we consider on single payment it is exceeding single limit of Rs. 30,000/- in One payment but overall Rs. 75,000/- limit is not excedding.

 

Replies (3)

if you have done payment on accrual basis i.e. after crediting the party first and each bill is less than 30000 than no tds

if single bill exceeds 30000 or payment of 38000 is advance payment (than tds is must on the basis of credit or payment w.e earlier)

since ithe payment to a party doesnt exceed 75k in the year, tds need not be deducted

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