Interest on IT

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Feroz (Querist)
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25 April 2009
Please any one tell TDS to be deduct on Foreign Agent Commission (outside india)
If Applicable. what is the rate ?

Ravi Prasad

Ravi Prasad (Querist)
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25 April 2009 Dear All,
Is interest onlate payment of income tax is an allowable expenses ?

CA Sunanda Badgujar

CA Sunanda Badgujar (Querist)
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25 April 2009 hello to all,
my query is that, whether excess service tax paid by a person can be adjusted in the next service tax payment?
Pls reply as early as possible
Thanks in advance

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Manmohan ACA, CS

Manmohan ACA, CS (Expert)
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25 April 2009 Interest on income tax received is taxable as income from other expenses

Any interest paid on loan which has been taken for paying income tax is disallowed

CA. B.SRINIVASULU

CA. B.SRINIVASULU (Expert)
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25 April 2009 Any excess service tax paid of one quarter can be adjusted against the payment due for the subsequent quarter.

Dayal

Dayal (Expert)
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26 April 2009 yes the same can be adjusted for subsequent payments. The maximum amount adjustable is 100000/- per month/quarter as per your period of payment.

CA. B.SRINIVASULU

CA. B.SRINIVASULU (Expert)
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26 April 2009 TDS is deductiable on payment of commission to foregin national. Either you have to deduct as per section 195 of income tax act. Or you can refer Double TAxationa avoidance agreement with that particular country and as per the rate given there you can deduct tax.

Rajesh Kumar

Rajesh Kumar (Expert)
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26 April 2009 No TDS is deductible on commission paid to foreign agent as directed by CBDT vide circular 786 dated 07.02.2000.

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Madhukar N Hiregange

Madhukar N Hiregange (Expert)
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27 April 2009 Excess apid in one period canbe adjusted in the next. The ST-3 itslef provides for the discvlosure of such payments.

atul gupta

atul gupta (Expert)
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29 April 2009 Pls do not mind, the way in which question was put does not give complete facts. For adjustment of excess payment of service tax Sub-rule (3) or (4A) of Rule 6 of Service Tax Rules may be used, but both are with conditions. Sub-Rule (3) is applicable only when payment for which service tax was paid is refunded and service is not rendered. and for sub-rule (4A), conditions of sub-rule (4B) has to be complied. Most important is clause (i) of sub-rule (4B). so pls first check the facts.

Manoj

Manoj (Expert)
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11 May 2009 Interest on Income tax Refund is taxable under other sources. Interest paid on Income tax can not be claimed as deduction.

Excess Service tax paid during one month can be adjusted against service tax payable in the next month.

TDS is not to be deducted for the commission paid to the foreign agents rendering services abroad. CBDT Circular No.786, dt.07.02.2000.

Circular Link:
http://law.incometaxindia.gov.in/TaxmannDit/DispCitation/ShowCit.aspx?fn=http://law.incometaxindia.gov.in/directtaxlaws/cbdt/dtccontents/PARA1168.htm