TDS on Proprietorship

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Sunil (Querist)
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09 August 2009 If an individual issues a bill in the name of a proprietorship concern, can he furnish the PAN of the Individual (same PAN used for filing ITR 4) to the TDS deductor. For purpose of verification, the PAN will be in name of individual and not proprietorship concern. Will that create a problem in getting tax credit. The sections for TDS always classify deductees as Individual / HUF and other entities. Will the proprietorship be classified as Individual.

CA Gangadhar Mishra

CA Gangadhar Mishra (Expert)
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10 August 2009 yes, you can use the PAN of individual for the propretorship concern, there is no problem in geting credit of TDS from Income tax Dept.

MAHENDRA KUMAR BAGRECHA

MAHENDRA KUMAR BAGRECHA (Expert)
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10 August 2009 Agree

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Sunil

Sunil (Querist)
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10 August 2009 Thanks. I have furnished this PAN to deductor last year also and my tax reflects in the Tax View of NSDL. However,I read notification regarding UTNS and the new challans had something about verification of name of PAN Holder. What will happen is that only my individual name will resolve and my proprietorship name will not be visible in my PAN number. What must a proprietor do in such circumstances if deductor will not be able to verify the Proprietorship name?