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SECTION 194B

suneet (CA FINAL) (421 Points)

04 March 2009

HELLO FRIEND PLEASE EXPLAIN SECTION 194B WITH EXAMPLE

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3 Replies

Nitin Grover (CS) (1228 Points)
Replied 04 March 2009

hello

sec -194B is used fordeducting TDS on income from wilnning lotteries including Card Games

it menas that the person has won the amont exceding Rs.5000/- then the Tax must be deducted on the amount exceding Rs5000/- because Rs5000/- is exempt u/s 10(3)

for example

if i buys Ticket of lotteries of rs 1000 & i won rs 80000

then total price money 80000/-

less: Cost of purchase Not Allowed

Less other Deductions

<a> Deduction U/s 10(3) 5000/-

remaining 75000/- are taxable as per flat rate 30% + 10%surcharge(if applicabe) + (2+1)% Cess on TAX & Surcharge

thanks

(Guest)

Dear Nitin Exemption u/s 10(3) shall not be allowed from A.Y. 2003-04.

sreekanth.ca (CA Job) (39 Points)
Replied 28 November 2013

You can Find all the Information on Section 194B - TDS deduction on Winning from Lotteries, crossword Puzzles or Any Game of this Sort in the Below Links

Link: https://www.exploreincometax.com/Income-tax-Ready-Reckoners/all-about-tax-deduction-on-payment-to-lotteries-crosswordpuzzle-section-194B

You can Also Check The Section 194B On Link https://www.exploreincometax.com/Indian-Income-tax-Act-1961/Section-194B