How much is TDS u/s 194C ?

My mistake.... Cess is not included in 194C TDS if the deduction is after 30th sep 2009.

You still have not said to which period the TDS relates.

Sorry  Dear G.k

                                No need to deduct with cess even it may be a company. 01/10/2009 onwards no cess deduction recommended to all.

Originally posted by : mushak shareef
	Sorry  Dear G.k                                 No need to deduct with cess even it may be a company. 01/10/2009 onwards no cess deduction recommended to all.

Yup thats pretty much what I said... the dates of the transaction are not given....

It might be a query relating to year 2008-09 or 2009-10 also...... Since cess is being deducted.....

U can see this Chart...

/forum/tds-rate-for-ay-2011-12-111457.asp

AFTER AMENDMENT ON 1 OCT 2009 :-

In my opinion TDS Deducted on payment u/s 194C to Company or other than Individual and HUF :-

TDS Rate :- 2%

Education Cess :- N.A. after 1 oct 2009 for any case of TDS other than Sec 192

Tds Deducted on payment u/s 194C to Individual and HUF:-

TDS Rate :- 1%

Education Cess :- Still N.A. after 1 oct 2009 for any case of TDS other than Sec 192

In your case :-

If TDS Deducted @ 2 % plus education cess @ 3% on TDS

then it is not constant updation of laws.......

Hi Mr. Vuelve,

In your case if payment is given to Company, TDS rate would be 2.06% u/s 194-C not 2.3%

TDS under section 194 will be 2% in case of company.

No cess is applicable on that.

TDS under section 194 will be 2% in case of company.

No cess is applicable on that.

Dear Nitin,

Why cess is  not applicable on that? Tell me that source.

hii,

As per Sec. 194c of income tax act,1961. if any payment given to any indvidual by any person in a

year which is a single payment exceeding rs 30000 or aggregate rs.75000 in a year then tds should be dedcted @ 1% not 2%.(for a.y.2011-2012)

The amt of tds is 25Lakh *1%=rs25000

no cess. is applicable

if party shows seperate amount in Bill as following manner, then on which amount TDS u/s.194c will be deducted?

wages paid 55000, foods 12000, conveyance RS.17500,  

Originally posted by : VUELVE
	X & Co. (Firm) engaged in wholesale business assigned a contract for construction of its godown building to Mr. Ravi, a contractor. It paid 25,00,000 to Mr. Ravi as Contract Payment. Please tell me which one of the following is correct ? a) As the payment is made to Company then it comes under 194C, payment to contractors other than HUF or Individual and so 2% on the payment will be deducted as TDS. 25,00,000 * 2% =  50,000/- b) The same 2% is applicable along with Education Cess & SHEC ? 25,00,000 * 2.3% = 57,500/- Which one of the above amounts is correct as TDS deduction ? Thanks & Regards !

Both amounts is incorrect as TDS  because payment made to Mr. Ravi, a contractor who is individual,so tds is on payment is such that:-

25,00,000*1%=25000/-(no educatiob cess and surcharge is applicable)

in case of company the tds rate is 2%