Tds applicability in case of branches

This query is : Resolved

Yash Goyal (Querist)
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02 March 2015 The assessee is a private limited company having two separate branches. Accounts maintained separately but only one common TAN.

Query: Payment of Rs. 20000/- each for professional services is made from both branches to same person. In this case while checking applicability of limit of Rs. 30,000/- u/s 194J should the branches be considered separately or should the limit be checked in aggregate?

If possible / available, kindly provide reference to circular / case law or any other legal record in this matter.

Thanks & Regards
CA Yash Goyal

CA Anjana Grover

CA Anjana Grover (Expert)
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02 March 2015 Hi Yash,

Since Same TAN is being used that means the calculation is being made for one entity hence both the payments will be consi
dered for at the time of deduction of TDS.

Regards