TDS on interest to partner or remuneration to partner

Can anyone plz tell me whether TDS is applicable on interest to partners or remuneration to partners.

Also tell me whether TDS is applicable on remuneration to director and whether TDS is applicable on Audit Fees.

 

 

Replies (8)

Dear Friend!

Interest paid on partner's Account is not liable for TDS in view of the specific exemption under Section 194A(3)(iv) of the Income Tax Act.

Remuneration to partners of firms and directors of companies are 'Salary' and therefore liable for TDS under Section 192.

Regarding 'Audit fees' paid the auditor, the same is professional payment liable for TDS under Sevtion 194J at 10% + Surcharge as applicable + Educational cess.

Good Bye! Cheers!!

 

Tax at Source is not deductible on Interest or Salary paid to partner as per the Partnership Deed.

 if Interest is paid more than partnership deed then will it  change the exemption to deduct Tds 194(3)iv.

tds on interest as well as salary is not deductible ,paid to partners.

tds on audit fees is deductible u/s 194J.

tds on director's salary is deductibleu/s 192.

no tds on remunaration to patners

tds on remunaration to directors & audit fee are deductable

Dear Friends!

As per Section 28(v) of the Income Tax Act, salary paid to a partner of partnership firm is only business income in the hands of the partner and therefore no TDS would be made on the same.

Good Bye! Cheers!!

 

Salary to working partner and interet to partners do not attract the provisions of TDS irrespective of the volume of amount.

However the remuneration to Directors do attract the provisions of TDS section 192 of Income tax act.

Audit fee payable  if it exceeds Rs. 20,000( inclusive of servie tax) attracts TDS under section 194J  OF INCOME TAX ACT

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