It is been stated that "A new provision relating to tax deduction at source (TDS) under the Income Tax Act
1961 will become applicable with effect from 1st April 2010. Tax at higher of the prescribed
rate or 20% will be deducted on all transactions liable to TDS, where the Permanent Account
Number (PAN) of the deductee is not available."
My question is what is the rate of TDS to be deducted for no pan-> whichever is higher of (at higher of the prescribed rate or 20%) or whichever is lower or is it straight 20% as been given to understand?
CAclubindia
