08 April 2009
IF TDS IS NOT DEDUCTED WHILE MAKING ANY PAYMENT TO A CONSULTANT DURING THE FINANCIAL YEAR 2008-09 ,BUT TDS IS NOW DEDUCTED AT THE END OF THE YEAR (MARCH MONTH), IS THERE ANY PENALTY FOR SUCH A LATE DEDUCTION....
TOTAL CONSULTANCY FEES PAID UPTO FEBRUARY - 4,00,000 RS.
08 April 2009
Yes, If a person fails to deduct the whole or any part of TDS as required under any of the provisions of sections 192 to 196D then: (a) The person responsible for deduction is treated as 'assessee in default' (b) He shall be liable to pay by way of penalty a sum equal to the amount which he failed to deduct. (c) He shall be liable to pay simple interest @12% p.a. on amount of tax liable to be deducted.
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