I want to know as per Union Budget(2009), we have not to be deducted surcharge on Cess on T.D.S w.e.f. 01.10.2009. We have to deducted only % of T.D.S. Is it true.
Pls. guide me.
Regards Bishnu Deo Sharma Jamshedpur bishnu_jsr@rediffmail.com
Mr. Binay Mishra sir, I am waiting for your reply also.
11 July 2009
Dear Tilak, Most of the provisions of this budget are applicable from 1.10.2009. SO pls check it again. And dear Vishnu Ji, what you have heared is absolutely correct, but this budget has not yet passed, it shall be passed on 22nd July, 2009. Then only these provisions shall be applicable. And one more thing is that Salary has been kept out of this provision. Means, you will have to deduct Educaton cess accodingly on TDS on salary. And Surcharge has been removed from personal taxation, so not to taken in tds on salary too.
Sir, thx for your reply in details, it means i am correct. But all the provision are applicable from 01.10.2009only after the passing of budget on 22.07.2009.
Regards Bishnu Deo Sharma. bishnu_jsr@rediffmail.com
11 July 2009
As per the budget proposal, education cess and secondary & higher education cess need not be charged while deducting tax for payments made during the FY 2009-10 to domestic companies and resident persons except for salary payments. PL GO THROUGH PROVISO TO SUB CLAUSE 11 AND 12 OF CLAUSE 2 IN CHAPTER II OF THE FINANCE(No 2) BILL,2009.
12 July 2009
Mr. Chakrapani is right and as you answered it, it is applicable w. e. f. 01.10.2009 on all TDS except TDS on salary where cess and secondary & higher education cess need be charged. This is applicable for companies also. Surcharge not applcable for individuals w. e. f. 01.04.2009 hence not liable for TDS on salary. No surcharge on TDS deducted for companies also.
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