T.d.s on interest on loans from director

This query is : Resolved

Ruchi Agarwal (Querist)
Follow

28 December 2013 A Pvt. Ltd. Co. has taken loan from one of its directors @ 12% p.a. At the time of making payment of interest on loan to directors, is A Pvt. Ltd. Co. required to deduct TDS on the interest amount and hence pay the balance amount of interest after deducting tds to the director..?

TRINATH

TRINATH (Expert)
Follow

28 December 2013 HI,
YES YOU ARE LIABLE TO DEDUCT TDS.

TNKS,

Ruchi Agarwal

Ruchi Agarwal (Querist)
Follow

28 December 2013 Thank U Sir.

Can U tell me at What Rate TDS is to Be Deducted?

Upgrade to CAclubindia Pro. Subscribe Now!

TRINATH

TRINATH (Expert)
Follow

28 December 2013 HI,
AS PER SEC 194A PLEASE REFER BELLOW LINK:

http://www.simpletaxindia.net/2010/04/tds-on-interest-sec-194a-misc-circulars.html

Tnks,

Guest

Guest (Expert)

28 December 2013 At the rate of 10%

TRINATH

TRINATH (Expert)
Follow

28 December 2013 yes agree with expert.

Tnks,