Payment by bank without deducting tax at source

The expenditure is paid by bank on behalf of us without deducting tax at source. In this case, whether the company can be held liable for non compliance of deducting tax at source?

Replies (7)

Dear Hardik,

Plz clarify who is "US" in this case & What kind of expenditure bank has incurred on theie behalf..

pls tell ur question in detail

Hi,

My query is - if  "A" an individual paying rent to "B" an individual more than the specified limit Rs. 120000/- pa. Is "A" responsible for TDS Deduction on rent? Plz help me

Dear Rakesh,

If "A" had a Tax Audit u/s 44 AB in the PREVIOUS FINANCIAL YEAR  then "A" is required to deduct TDS on this payment of Rent to "B" 

Hi Rakesh,

U/s 194I, if the individual is not liable to sec 44AB i.e. tax audit. Then he is not liable to TDS when paid.

Hi Hardik,

The Assessee on whose behalf banks make payment shall be liable to non compliance of  TDS.

i think Bank is just an intermediary in your question and brunt to ensure complaince lies on person who had actually done the transaction i.e company itself but make sure that your case falls under sec44 AB read with Section 194I

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