08 July 2010
IF THRESHOLD LIMIT IS NOT CROSSED TDS NOT TO BE DEDUCTED EVEN IF PAN IS NOT PROVIDED. BUT MAIN QUESTION IS RS.70000/- LIMIT IS WITH EFFECT FROM 01.07.2010 BUT TILL 30.06.2010 IT IS RS.50000/-. SO WHAT SHOULD BE THE ANNUAL LIMIT FOR FY 2010-11? OTHER EXPERTS VIEW ALSO SOLICITED.
08 July 2010
In case of transporter if PAN is provided dont deduct TDS in any case from 01.10.2009 as per FA 09.
If he does no furnish PAN - 1% in case of ind/huf & rest 2% till 31.03.2009 For after 01.04.2010 ded - 20%
As far as Threshold limit is concerned....
For 3 months till 30.06.2010 - Rs. 50000 1) Like in April - Rs. 5000 In may - 30000 In June - 10000 No TDS In July - 20000 In August - 20000 Deduct TDS on Whole 85000
2) In April - 5000 In may - 30000 In June - 20000
Deduct TDS on 55000
In July - 10000 dont deduct TDS In August - 20000 deduct TDS on (85000-55000)
08 July 2010
There are two triggers. 1 Single Transaction >20K and Combined > 50K(Upto 30/06/10). If either condition is satisfied, deduct TDS.
In view of the above, TDS get attracted in May itself in both 1 & 2.
In my view, once TDS is attracted as above, TDS in June and subsequent month gets automatically attracted, if the transaction relates to same contract.
08 July 2010
Oh yes i realse my mistake for the single transaction.
But ur Opinion "In my view, once TDS is attracted as above, TDS in June and subsequent month gets automatically attracted, if the transaction relates to same contract." - i think is subjected to Litigation
CAclubindia
