Hello !
I have a queary about TDS deduction.
If Partner Ship Firm A give unsecure loan to a Person B.
And a Person B Paid intrest yearly.
In this matter what is the rule for TDS & who is liable to Pay TDS ?
Bhumit (accountant) (166 Points)
03 April 2018Hello !
I have a queary about TDS deduction.
If Partner Ship Firm A give unsecure loan to a Person B.
And a Person B Paid intrest yearly.
In this matter what is the rule for TDS & who is liable to Pay TDS ?
RAJA P M
("Do the Right Thing...!!!")
(127463 Points)
Replied 03 April 2018
Rahul Prajapati
(Student)
(2282 Points)
Replied 03 April 2018
The Payer/Deductor shall deduct TDS if the amount of such interest paid or credited OR is likely to be paid or credited in a financial year, exceed
Rahul Prajapati
(Student)
(2282 Points)
Replied 03 April 2018
TDS will be deducted by Firm B, while making interest payment to Firm A
Bhumit
(accountant)
(166 Points)
Replied 03 April 2018
Thanks for Your reply.
But if Person B did not deducted TDS & did not file TDS Return and paid intrest to Firm A also, than what is the role of Firm A ?
Rahul Prajapati
(Student)
(2282 Points)
Replied 03 April 2018
Firm A will show that whole amount of interest as its Income and will pay Tax on that income itself.
But, if Firm B is liable to deduct TDS but didnt deduct then read Consequences
"Link" https://blog.cleartax.in/consequences-of-not-deducting-tds-timely/
RAJA P M
("Do the Right Thing...!!!")
(127463 Points)
Replied 03 April 2018
Anirudh Shankar
(2 Points)
Replied 05 June 2020
In view of the coronavirus pandemic spreading its wings and impacting the economy, Finance minister Smt. Nirmala Sitharaman declared a set of steps to enhance, extension of legislative and regulatory compliance's.
For delayed deposit of TDS, interest has been reduced to 9 % from 18% for those where the TDS is due from 20.03.2020 to 29.06.2020. This benefit is available only if such TDS is remitted to the credit of government on or before 30.06.2020.
Calculate interest on late payment, late deduction, & Filing of TDS using this TDS Interest Calculator:
CAclubindia
