Tds on provisions

TDS 332 views 1 replies

Basavaraju KJ

Article Trainee

43 Points Joined September 2012

Hi All,

Query regarding TDS payments.

Q: Is TDS need to be paid on the provision made for expenses, say professional fee, at the year end 31.3.2012 before due date i.e., 30.4.2012 ? (however invoive was received in the month of May-2012)

With regards,

Basavaraju

Replies (1)

Vineet Jaiswal

141 Points Joined July 2012

If the payee is not identifiable at the time of making provision, then TDS need not be deducted on the provision made, as it was decided by the Mumbai ITAT in case of IDBI vs ITO.