Tds to be deduct after limit exceed or before?..

TDS 1043 views 1 replies

If we deduct TDS after limit exceed, is there is any interest for delay of TDS payment.

Example: If April month paid Rs.10000/- professional fees to XYZ , but not deduct TDS (because limit does not exceed Rs.30000/-pa)

but June month paid Rs.40000/- professional fees to XYZ, in this month we deduct TDS @ 10% on entire amount of 50000/- (10000+40000)

In this case delay(??) in TDS deduction attract any interest or not?

Kindly give expert advice.

Thanks.

 

 

Replies (1)

Yes you can remit without interest as at the time of first payment u doesnt know that the limit will exceed in the future.......But while filing TDS return, please ensure to put the code of no deduction due to not crossing the limit in the respective line item, otherwise IT dept can calculate interest on this.

 


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