Tds on freight query- revised

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

14 October 2011 COMPANY HAS PAID FREIGHT FOR DIFERRENT CONTRACTS ON DIFFERENT OCCASION TO THE SAME TRUCK OWNER. PAYMENTS MADE AS FOLLOWS:-
ON 01.04.2011 18000/-
ON 25.05.2011 18000/-
ON 30.08.2011 14000/-
ON 31.12.2011 18000/-
ON 31.03.2012 12000/-
WHEN TDS IS TO BE DEDUCTED? ON WHAT AMOUNT? TRUCK OWNER DOES NOT HAVE PAN!!

CA RICHA BADALIA

CA RICHA BADALIA (Expert)
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14 October 2011 TDS will be deducted on 31.03.2012 on RS.80000/-

Querist : Anonymous

Querist : Anonymous (Querist)

14 October 2011 WHY?
WHY NOT ONLY ON 12000/-?
PLS DISCUSS WITH PROVISIONS.
THANKS!

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CA RICHA BADALIA

CA RICHA BADALIA (Expert)
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14 October 2011 Because once it crosses the limit of RS.75000 p.a TDS will be charged on entire value.

ACMA Obulirajan R

ACMA Obulirajan R (Expert)
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14 October 2011 Yes TDS will be deducted @ 20% (No PAN) on 31.03.2012 for the entire amount Rs.80000 as the total agregate payment crossed Rs.75000 limit.