Surcharge & Cess on TDS

This query is : Resolved

BISHNU DEO SHARMA (Querist)
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11 July 2009 Dear All Expert & Sr.

I want to know as per Union Budget(2009), we have not to be deducted surcharge on Cess on T.D.S w.e.f. 01.10.2009. We have to deducted only % of T.D.S. Is it true.

Pls. guide me.

Regards
Bishnu Deo Sharma
Jamshedpur
bishnu_jsr@rediffmail.com

Mr. Binay Mishra sir, I am waiting for your reply also.

CA Tilak Raj Sharma

CA Tilak Raj Sharma (Expert)
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11 July 2009 Budget 2009 is applicable from 01.04.2009 and not from 1.10.2009.

Surcharge is abolished from all TDS payments but cess i.e. 3% (2+1) is still applicable.

CA.Tarun Maheshwari

CA.Tarun Maheshwari (Expert)
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11 July 2009 Dear Tilak, Most of the provisions of this budget are applicable from 1.10.2009. SO pls check it again. And dear Vishnu Ji, what you have heared is absolutely correct, but this budget has not yet passed, it shall be passed on 22nd July, 2009. Then only these provisions shall be applicable. And one more thing is that Salary has been kept out of this provision. Means, you will have to deduct Educaton cess accodingly on TDS on salary. And Surcharge has been removed from personal taxation, so not to taken in tds on salary too.

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CA Suresh Choudhary

CA Suresh Choudhary (Expert)
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11 July 2009 Agree with Mr.Tarun

BISHNU DEO SHARMA

BISHNU DEO SHARMA (Querist)
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11 July 2009 Dear MR. Tarun & Mr. Suresh

Sir, thx for your reply in details, it means i am correct. But all the provision are applicable from 01.10.2009only after the passing of budget on 22.07.2009.

Regards
Bishnu Deo Sharma.
bishnu_jsr@rediffmail.com

Bhaskaran Chackrapani Warrier

Bhaskaran Chackrapani Warrier (Expert)
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11 July 2009 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.

BISHNU DEO SHARMA

BISHNU DEO SHARMA (Querist)
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11 July 2009 Chakrapani Sir,

What is date when its applicable. And what about surcharge.

Regards
Bishnu Deo Sharma.

Aditya Maheshwari

Aditya Maheshwari (Expert)
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12 July 2009 Mr. Chakrapani is right and as you answered it, it is applicable w. e. f. 01.10.2009 on all TDS except TDS on salary where cess and secondary & higher education cess need be charged. This is applicable for companies also. Surcharge not applcable for individuals w. e. f. 01.04.2009 hence not liable for TDS on salary.
No surcharge on TDS deducted for companies also.

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