Education Cess on tds

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P A RUPESH RAMNATH

P A RUPESH RAMNATH (Querist)
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10 July 2009 Whether we have to deduct education cess on tds or not for the fy 2009-10

Jitender

Jitender (Expert)
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11 July 2009 no

Bhaskaran Chackrapani Warrier

Bhaskaran Chackrapani Warrier (Expert)
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11 July 2009 Yes u have to deduct cess on TDS for the financial year 2009-10. Pl see sub clause 11 and 12 of clause 2 in chapter II of The Finance (No 2) Bill 2009.

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CA Suresh Choudhary

CA Suresh Choudhary (Expert)
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11 July 2009 You have to deduct

Bhaskaran Chackrapani Warrier

Bhaskaran Chackrapani Warrier (Expert)
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11 July 2009 I stand corrected to the extent given below.

As per the budget proposal, education cess and secondary & higher education cess need not be charged while deducting tax for payments made during the FY 2009-10 to domestic companies and resident persons except for salary payments.
PL GO THROUGH PROVISO TO SUB CLAUSE 11 AND 12 OF CLAUSE 2 IN CHAPTER II OF THE FINANCE(No 2) BILL,2009.

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Shyam Lal Naik

Shyam Lal Naik (Expert)
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22 July 2009 Except for cess on salary, Surcharge & Edn. Cess need not be deducted so far as it relates to TDS provisions, saving of course, non residents.