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Tds on 194j professional feed

ASHISH MISHRA (26 Points)

02 May 2020

pls tell me TDs on professional fees

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6 Replies

Shrikant Toshniwal (TAX CONSULTANT) (1109 Points)
Replied 02 May 2020

The Income Tax TDS u/s 194J deducted at rate of 10% on professional Fees

ASHISH MISHRA (26 Points)
Replied 02 May 2020

But sir I saw in news that it had been revised by 2% is this true ...?

sabyasachi mukherjee (27858 Points)
Replied 02 May 2020

@ toshniwal

gross receipts from professional fees is rs. 50 lakhs during one year.
In excess of the same it is taxable.
rate 10%

Rahul Jalan (Chartered Accountant) (121 Points)
Replied 02 May 2020

If the payment is for fees for technical services as defined under explanation 2 to section 9(1)(vii) , then TDS rate would be 2% , else it would be 10%>

Kiran Hathalia (837 Points)
Replied 02 May 2020

If the amount of fees for professional and technical services exceeds Rs.30,000 then TDS should be deducted at a following rate (for A. Y. 20-21)-

1.Cases, wherein, the payee is engaged in the business of the operation of Call Centre only (effective from 1st June 2017) - 2%

2.In case of fees for technical services (not being a professional royalty where such royalty is in the nature of consideration for sale, distribution or exhibition of cinematographic film) (effective from 1st April 2020) - 10%

3. Professional royalty where such royalty is in the nature of consideration for sale, distribution or exhibition of cinematographic film - 10%

4. In case of fees for any other professional services - 10%

5. In case of fees for any other professional services - 20%

Krishna Chaudhary (Accountant) (4531 Points)
Replied 16 January 2021

According to the rules and regulations of Section 194J of the Income Tax Act, 1961, a person must deduct their Tax Deducted at Source (TDS) only at the rate of 10% when certain payments are made to a certain resident