Tds

1. Interest @ 1% pm or part thereof, from the date to be deducted till the date of deduction
2. Interest @ 1.5% pm or part thereof, from the date of deduction till the date of payment
3. Late filing fees u/s 234E
4. There will not be any disallownce u/s 40a

In addition to above consequences, 

you can be treated as " assessee in default" and penalty equal to TDS amount can be levied by Department.

depreciation on that capital expenditure not allowed

@ Krishna: I have a different view. Depreciation as such is not an expenditure and hence it cannot be disallowed as I understand.

https://taxlawsjournal.wordpress.com/2011/03/25/section-40a3-capital-assets/

Originally posted by : Poornima Madhava
	@ Krishna: I have a different view. Depreciation as such is not an expenditure and hence it cannot be disallowed as I understand. https://taxlawsjournal.wordpress.com/2011/03/25/section-40a3-capital-assets/

Thanks Poornima for updating my views as i was not aware of the case law

thank u 

Hello Poornima

pls explain why there is no disallowance......as far as i know, 194J uses the word TDS should be deducted on payment of any tech/prof fee and not the word rev/cap exp

hello 

but Tds softw

hi poornima 

E-TDS software is not accepting the loss from let out , but loss self occupied is up to 2lakhs

@ Ashok: Here the discussion is not about 194J but abt TDS on capital expenditure. There cannot be disallowance bcoz they r part of capex (not revenue). As u say, fee for technical services or professional service is revenue expenditure only but here the query pertains to capex

Hello Siva,

First of all you have not mentioned exact kind of service provided coz in realtion to capital expenditure it could have related to many provisions such as Sec. 194-J/194-I/194H.

However as per your post telling loss from house property I PRESUME THAT IT IS IN RELATION TO HOUSE PROPERTY and either would be covered as FEES FOR PROFESSIONAL SERVICES U/S 194 -J OR PAYMENT TO CONTRACTOR U/S 194 -C .....IN BOTH THE CASES TDS IS NOT REQUIRED TO BE DUDUCTED IF IT IS FOR PERSONAL USE OF INDIVIDUAL/HUF and also not required if their tunover does not exceed 1 crore in previous year.