Tds %??

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

26 March 2016 Pvt ltd co paid 10000/- to NPC staff club for making advertisements in their magazine.is it tds should be deducted? how much % ?

Ankur Singhal

Ankur Singhal (Expert)
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26 March 2016 DEAR
SECTION 194C IS APPLICABLE BUT AS THE AMOUNT IS BELOW THE THRESHOLD LIMIT NO REQUIREMENT TO DEDUCT TDS.
THRESHOLD LIMIT
Rs. 30,000 per single contract or Rs. 75,000 in aggregate during the Finance Year

CA SUNIL K GARG

CA SUNIL K GARG (Expert)
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26 March 2016 Provisions of section 194C would apply in relation to payments made to persons who arrange advertisement, broadcasting, telecasting, etc.
Threshold
Single Transaction = 30,000, Aggregate during FY = 75,000
Company, Firm, Co-op Soc., Local Authority = 2% Individual, HUF = 1%
If No PAN OR Invalid PAN = 20%
In you case payment made is only Rs. 10000/-, so no TDS is required to be deducted. However if payment exceeds Rs. 75000/- during the FY, TDS will be deducted on whole amount.

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