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TDS applicabilty

Faheem Akram (802 Points)

16 May 2019

Who is liable to deduct TDS??

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manoj kacha (133 Points)
Replied 16 May 2019

those are in audit

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Giridhar S Karandikar (Team Lead) (7543 Points)
Replied 16 May 2019

an individual or Huf wjho us subjected to tax audit in the previous year is liable to deduct tax at source from the succeeding fy from the various types of payment made such as rent contractor payment Prof fees commission etc..
firms and companies are required to deduct tax even if they are not subjected to tax audit.
however if the payee submits firm 15G/H to the deductor then he's not liable to deduct tax

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Padmanathan Kv (2127 Points)
Replied 16 May 2019

in GST or IT?

Giridhar S Karandikar (Team Lead) (7543 Points)
Replied 16 May 2019

income tax

Faheem Akram (802 Points)
Replied 16 May 2019

GST????

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Padmanathan Kv (2127 Points)
Replied 16 May 2019

There is TDS mechanism under GST as well. Central/state Govt depts/authorities/govt companies need to deduct 2% TDS on inward supplies exceeding 2,50,000Rs.

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CA Shikha Sharma (Ceo) (3869 Points)
Replied 16 May 2019

individual or huf liable to audit u/s 44ab

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Antrika Sinha (student) (315 Points)
Replied 16 May 2019

Who could be liable to deduct TDS under GST law?

A department or an establishment of the Central Government or State Government; or
Local authority; or
Governmental agencies; or
Such persons or category of persons as may be notified by the Government.

As per the latest Notification dated 13th September 2018, the following entities also need to deduct TDS-

An authority or a board or any other body which has been set up by Parliament or a State Legislature or by a government, with 51% equity ( control) owned by the government.
A society established by the Central or any State Government or a Local Authority and the society is registered under the Societies Registration Act, 1860.
Public sector undertakings.

What is the rate of TDS?

TDS is to be deducted at the rate of 2 percent on payments made to the supplier of taxable goods and/or services, where the total value of such supply, under an individual contract, exceeds two lakh fifty thousand rupees. No deduction of Tax is required when the location of supplier and place of supply is different from the State of the registration of the recipient.

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