Need Clarification Urgently ! ! TDS Matter

If TDS has not been deducted in the previous year the expenses will be disallowed u/s 40(a)(ia) and the same will be allowable in the year in which TDS is deducted and paid.

Alternatively if the company can deduct TDS in the last year itself and pay the TDS now along with interest the expenses will be allowable in the last year itself.

Mr  Ramesh, you said  that  you  “ had signed a contract with that company” .  

Did you sign in individual capacity or representing your employer ( as you said some where that  you are a  “salaried employee”.)   

You have not enabled us to understand this aspect. 

Your question “Can that company deduct the TDS at the time of payment, since they had not deducted it at the time of services”    will have an answer that the company can.

 “If yes then what will be the implication of late deduction.”, negligible.   TDS is a mechanism wherein the Revenue will collect tax in advance, which is subject to again to adjustment at the time of  computation of Returns.

What rate of TDS  will be applicable on Hire charges of tractor.

A musician gave a programme in a party. His bill amount is 105000/-. What % of TDS I should deduct in his bill? Pls answer me. It is urgent.

Regards, Pamila

Originally posted by : PAMILA
	A musician gave a programme in a party. His bill amount is 105000/-. What % of TDS I should deduct in his bill? Pls answer me. It is urgent. Regards, Pamila

sec 194J -Fees for Professional / Technical Services - 10%

Originally posted by : Ritesh choudhary
	What rate of TDS  will be applicable on Hire charges of tractor.

194 I - Rent Other then Plant / Machinery - 10% (not to be used for agri purpose)