Trader
2616 Points
Joined August 2009
Originally posted by :sunil kumar jha |
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if the contractor provides their own PAN as a PAN of their firm then in this situation how can we identify that TDS will deductible 1% or 2% ? |
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The Proprietorship Concern (what everyone refers to as Firm) of an Individual Contractor or HUF Contractor is disregarded as an entity separate from Individual or HUF. It is now mandatory for all deductees to mention their PAN numbers on the Invoices. For such Proprietorship firms the deductee should mention his PAN number and also indicate that it is of the proprietor Mr. XYZ.. When you file the TDS Returns, you will mention name of Individual to enable the matching of PAN with database. You will have to deduct TDS @ 1% only for a proprietorship concern belonging to Individual or HUF.