Tds on directors remuneration

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

22 December 2011 My company is booking directors remuneration every month @Rs.20000 to each director but no single payment is made to them. I have not yet deducted any TDS on that on the ground that under section 192 TDS to be deducted at the time of payment to the employee.

Is my contention correct if not then pls explain the reason and treatment thereof..

Guest

Guest (Expert)

22 December 2011 Yes your opinion is right.

TDS is to be deducted at the time of payment or credit whichever is earlier except in the case of salary where TDS is paid at the time of payment of salary only.