Interest on tds for non deduction u/s 194j

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

05 March 2015 following payment has been done to a visiting lecturer
may 13700
july 3500
aug 2000
oct 1800
nov 1200
dec 3000
jan 6000
feb 7300
march 6500

is it liable to tds?

and if yes how much tds will be deducted on which amount?

how much and what % of interest will be calculated on tds?

CMA. CS. Sanjay Gupta

CMA. CS. Sanjay Gupta (Expert)
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05 March 2015 TDS to be deucted u/d 194J @10%. If PAN not furnished by lecturer TDS to be deducted @20% u/s 206AA.

TDS to be deducted on total amount since threshold limit of Rs 30000/- p.a. is crossed.

Interest to be paid on late deduction of TDS @1% per month from the month of payment till the month of deduction.

Say for may Interest to be paid is for 11 months assuming TDS is deducted in March i.e., 11% of Rs 13700/-.

Hope its clear, for any further doubt please revert back.

Querist : Anonymous

Querist : Anonymous (Querist)

05 March 2015 means tds interest will be charged from first payment?

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CMA. CS. Sanjay Gupta

CMA. CS. Sanjay Gupta (Expert)
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05 March 2015 Start charging from January as in January the threshold limit of Rs 30000/- p.a. is being crossed.

So interest on Rs 31200 @ 3% (Jan, Feb & march)

Interest on Rs 7300 @ 2% (Feb & march)

No interest on Rs 6500/- as TDS is being deducted in March itself.

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Rupesh Jain

Rupesh Jain (Expert)
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05 March 2015 tds to be deducted when rs.30000/- is crossed
then you have to deduct the tds on amount and pay intt.on non payment of tds.

tds to be deducted in jan intt for two month
for feb one month
for march no intt