Tds

This query is : Resolved

Pushkar Khiwal (Querist)
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06 August 2014 Sir,

I have made a payment of in July of Rs. 70300.00,

Bill not yet received please suggest how much the amount of TDS will be calculated on this.

CA Parul Saxena online

CA Parul Saxena online

(Expert)
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06 August 2014 what kind of payment it is???Rent, Commission or contract payment

Pushkar Khiwal

Pushkar Khiwal (Querist)
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06 August 2014 Its in contract head, pleas confirm complete calculation..

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CA Parul Saxena online

CA Parul Saxena online

(Expert)
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06 August 2014 yes tds to be deducted if payment made to individual/hUf then @ 1% else 2%

Pushkar Khiwal

Pushkar Khiwal (Querist)
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06 August 2014 Yes I have calculated, 70300*1%=703,

But other one saying it should be 710.00 so ham confused in the same

Pushkar Khiwal

Pushkar Khiwal (Querist)
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06 August 2014 Please suggest for the same.

CA UMESH DULAL

CA UMESH DULAL (Expert)
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06 August 2014 710

CA UMESH DULAL

CA UMESH DULAL (Expert)
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06 August 2014 710

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Pushkar Khiwal

Pushkar Khiwal (Querist)
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06 August 2014 Mr. Umesh please confirm the calculation if TDS amount is 710

CA UMESH DULAL

CA UMESH DULAL (Expert)
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06 August 2014 70300/0.99 * 100 as you are supposed to pay the contract amount after deducting the TDS

CA UMESH DULAL

CA UMESH DULAL (Expert)
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06 August 2014 calculate 1% from about contract value

CA PRIYUL SHAH

CA PRIYUL SHAH (Expert)
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06 August 2014 Explain for what you have made payment.
TDS shall be deducted on time of payment or credit which ever is earlier.

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CA Parul Saxena online

CA Parul Saxena online

(Expert)
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06 August 2014 payment of Rs.70300
payment is required to be made after deducting tds.
so tds amount is 70300*1/99=710

Pushkar Khiwal

Pushkar Khiwal (Querist)
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06 August 2014 Please let me know the reason for calculating 1/99..??

Pushkar Khiwal

Pushkar Khiwal (Querist)
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06 August 2014 why we can't get only 1% for the same, why its required 1/99
????

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CA Parul Saxena online

CA Parul Saxena online

(Expert)
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06 August 2014 payment is made after deducting tds.
Assuming Payment is made after deducting tds.
Bill amount=71010
TDS=71010*1/100=710
Payment=71010-710=70300

Pushkar Khiwal

Pushkar Khiwal (Querist)
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06 August 2014 Got it Ma'am Thank You So much,