TDS query

TDS is deducted on Interest received from Fixed Deposits. The threshold limit is Rs. 10000. The rate of TDS is 10%, if PAN quoted, and 20% if PAN is not quoted. The TDS is deducted u/s 194A.

Regards,

Devendra K

Originally posted by : Devendra
	TDS is deducted on Interest received from Fixed Deposits. The threshold limit is Rs. 10000. The rate of TDS is 10%, if PAN quoted, and 20% if PAN is not quoted. The TDS is deducted u/s 194A. Regards, Devendra K

agreed read section 194A

Originally posted by : Surendra Agarwal
	If deposit in joint names then which person pan number should be given to avoid higher taxation?

in absence of any percentage mandate to bank, such deposit should be treated in 1st persdon name with add on name for joint holder.

Originally posted by : Surendra Agarwal
	Whether it is diducted on receipt basis or on due basis,since fixed deposit is on term basis then how interest is calculated for tax purpos,

accural basis, at the end of every finance year, interest is credited to the TDR.

Originally posted by : Surendra Agarwal
	Whether no tds attracted if both pan number and form 15G/H filled

unless clear mandate is given to bank for percentage of deposit allocated to joint holders, 1st holder will be treated as owner of funds and TDS would get deducted from 1st holder only. 

reg form 15G/H, if the pan holder is below tax limit in previous year, then only bank will consider the same, in case the PAN holder has taxability in previous years and have obligation to file return, then bank will deduct TDS without considering the 15G/H

Originally posted by : U S Sharma
	Originally posted by : Surendra Agarwal If deposit in joint names then which person pan number should be given to avoid higher taxation? in absence of any percentage mandate to bank, such deposit should be treated in 1st persdon name with add on name for joint holder.

Inorder to avoid higher tax provide the pan of the jointholder who belongs to lower income group of the two.

No further query is raised by the I.T. department

please refer relevant section of income tax act 1961

hI

how the TDS is applicable in the mutual funds . if so how to calcilate..the TDS in the mutual fund profits

Regards

ALLU