sudha (proprietrix) (113 Points)
14 August 2013Dear All
What is the rate of TDS on payments to advertisement agency? if the total amt paid is more than Rs 30000/- in a financial year but the payments per day do not exceed Rs 25000/- even then should tds be deducted before releasing the payment
thanks in advance
Ajay Mishra
(Company Secretary)
(74332 Points)
Replied 14 August 2013
It is 2% on payment to advertising agency.
sudha
(proprietrix)
(113 Points)
Replied 14 August 2013
| Originally posted by : Ajay Mishra | ||
| what about the limit of rs 30000/-? is it per year or per transaction |
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CA LOVELY ARORA
(C.A. B.Com (H) Graduate)
(2151 Points)
Replied 14 August 2013
Dear Sudha,
the limit of 30000 applies to per contract/transaction.. and for the whole year, limit is 75000... u/s 194C..
Ajay Mishra
(Company Secretary)
(74332 Points)
Replied 14 August 2013
Yes, If Rs. 75000or more is annual payment then TDS is mandatory and If any one invoice is more then Rs. 30000/- then TDS on single invoice is also mandatory.
NAGASAI.K
(Article Assistant)
(193 Points)
Replied 14 August 2013
As per sec-194C of Income Tax Act 1961, TDS shall be 2% on all contracts including sub-contracts and advertisement contracts.
The tax is required to be deducted if a single payment exceeds Rs.30000/- or if the aggregate payment exceeds Rs. 75000/- per annum
Tony John
(Chartered Accountant)
(6085 Points)
Replied 14 August 2013
As per Section 194C, deduct tax @ 1% if the payee is an individual/HUF.
Deduct tax @ 2% in the case of all other payee.
Limits: If single payment exceeds Rs.30000 or aggregate payments in a year exceed Rs. 75000
CAclubindia
