Tds at higher rate of 20%

TDS was deducted in FY 10-11 @ 10% for rent of property. (even though amount paid did not exceed Rs. 1,80,000/-)

PAN of the party was not available at that time.

Is the deductor liable to pay balance 10% tds (i.e. shortfall) by non compliance of section 206AA ?

As per my view, he is not liable, since the TDS was deducted even though it was not deductible; (the agreegate amount paid to the party did not exceed Rs. 1,80,000/- in an year) 

 

 

Replies (3)

Even though this limit not exceed if you deduct for non PAN deductee's should  deduct @ 20% rate only if that payment already made leavitt as of now if any query raised by IT dept pay the balance after receiving notice

agree with aswath...
agree with aswath...

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