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Consequence of not deducting tds of director

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(Querist)
28 February 2013 URGENT:
What would be the consequence of not deducting TDS of director?
On employer (private ltd. company) as well as the employee (director) ?
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CA Prashant Gupta

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CA Prashant Gupta (Expert)
28 February 2013 exp will be disallowed for company
and penalty u/s 271C which is equilent to TDS amount
no problem with director

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