Why they deducting 10% for tds on my salary?

all bills for an year put together if amounts exceed 60,000 tds must be deducted. so ur salary 72000, therefore deducted. how ever u can claim refund in the assessment year

Yes agrred with vijay , that TDS is liable to be deducted for professional services rendered u/d 194J if payments to be made in yr. is likely to exceed Rs. 60000

Hi,

Since you are working on a freelancing job (software development) for a company in contract basis, you are classified as a 'Professional' by the Income tax. This requires the company for whom you provide these 'Professional services' to deduct TDS/ tax from your billing/ payments @ 10% since your annual payment exceeds Rs 30,000/-.

You will be able to claim this back thru your tax return filed with Income tax department.

Cheers

Yuvak

TDS IS DEDUCTED BECAUSE YOUR HAVE RENDEDRED TECHNICAL SERVICE..

TDS IS TO BE DEDUCTED U/S 194 J @ 10%.

BUT AS FOR LIMIT CONCERNED:-

FOR ONE BILL EXCEEDING Rs 30000

FOR ANNUALLY EXCEEDING Rs 75000.

any one give me tds rules and regulation ....??/

i hv not knowing what is the limit for the tds section

Section 194 (J) TDS on professional/Technical charges @ 10%

Limit - 30,000/- per annum (year)- 194J -professional /Technical fees.

AND

Limit - 30,000/- per bill OR 75000/- per annum (for Contract Only- 194c)
 

I agree with santosh. The company is correct on its part for deducting the TDS @ 10%.u can claim refund at time of filling the return.

yes, i agree with santosh

you can check this thread on the TDS rates and amendments further for this Fin. Year.

/forum/tds-rate-chart-a-y-2013-14--196967.asp#.UBY4j3tmziY

TDS deducted u/s 194J, not under section 192 or 194C. Although its a contractual nature, but you are providing the same in professional nature.

Hence, TDS @ 10% is deducted thereof.

FOR 194 C:-

limit Rs 30000 per bill.

Yearly Rs 75000

for professional Rs30000 u/s 194j

Hi Baskar,

    If you can,, change the contract basis to employment basis even if you work for part time daily basis. An employer can treat u as an employee in place of freelancer. 

   If they agree to treat u as an employee, then neither you no need to give an invoice nor they will deduct TDS on present amount.

Check with your employer...

Regards

Anand

Originally posted by : baskar
	Hi, I am from tamilnadu.. I am doing my freelancing job (software development) for a company in contract basics. daily 4Hrs. and monthly 6K only. But they are giving me only 5400Rs only.. 10% of 6000 were taken as TDS...    Is this correct?????    TDS for 6000 ??????

Hi You can claim for TDS refund your money will be credited within 6 month after filing the TDS return..... Pls consult any CA for TDS refund.