TDS RATE U/S 194C

Sir,

I don't think that in your case TDS is required to be deducted since the payment is less than Rs. 20,000/- . Moreover TDS is not required to be deducted for the payment made to a transporter if he provides PAN no.

If the amount paid to him qualifies for deduction u/s 194C then the rate would be 2% for other than Individual and HUF and 1% for individual and HUF provided he doesn't provide the PAN no.

For now, I don't think TDS is required to be deducted in your case as the payment doesn't qualify u/s 194C even though the transporter has not provided PAN no.

No T.D.S. is not deductible as the threshold limit for the same is Rs. 20,000.00 per contract or Rs. 50,000.00 p.a.

First since the payment was not more than Rs.20000, TDS LIABILITY is not there.

Further, if the single payment exceeds Rs.20,000 (say Rs.21500 paid), then for a Deductee who din't provide PAN No. then 20% Tax should be Deducted, since 20% is higher than 1%

As per Finance Act 2010 limit of Rs. 20000 is raised to 30000 and 50000 to Rs. 70000

Originally posted by : Abhishek K. Pandey
	No T.D.S. is not deductible as the threshold limit for the same is Rs. 20,000.00 per contract or Rs. 50,000.00 p.a.

hi, my payment stands under Rs 24750, on 05/11/2009. And I don't have the PAN details of the sub-contractor. Can anyone guide me in, what should be the TDS for this entry?

thanks

regards,

shrenik

sir,

if a realestate co. gives a contract to builder for itself . is any TDS liability on company u/s 194c ?

please reply asap