I will suggest that the co. must apply for the pan as early as possible. As far as the tds provisions are concerned co must deduct it from the remuneration of directors if this is more than the 110000/- PA for Assessment year 2008-09 & 150000/-PA for the assessment year 2009-10. In your query it is not clear that 40000/- salary for others is per month or per anum. If it is per anum then tds provisions will not be applicable, otherwise deduct the tds accordingly.
14 July 2008
one more thing, after obtaing pan, co should file its tds returns & income tax return after taking consideration of interest & other penal provisions.
14 July 2008
In case of remuneration or salary computed in accordance with the Income tax provisions exceeds the basic limit then tax at source is to be deducted as per the circular issued u/s 192. In your case, if the tax is deductible then it should be deducted accordingly and TAN applied for that purpose. However, u will be able to deposit the TDS on allotment of TAN alonwith interest.
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