I am working in a corporate MNC handling India accounting. Can you please help me with the TDS rate Section for Dance choreography for the corporate annual party? The Vendor has raised an invoice of 34000 INR.
11 July 2024
For payments made towards dance choreography services for corporate events like annual parties, TDS (Tax Deducted at Source) under Section 194J of the Income Tax Act, 1961 is applicable. Here are the details:
**Section 194J TDS Rate for Professional or Technical Services:** - The TDS rate under Section 194J for professional or technical services, including fees for technical services, legal fees, professional fees, etc., is **10%** (excluding cess).
**Applicability to Dance Choreography Services:** - Dance choreography services typically fall under the category of professional services covered by Section 194J. - Therefore, when making payment to the vendor who has provided dance choreography services for the corporate annual party, you need to deduct TDS at the rate of **10%** on the gross amount paid.
**Calculation Example:** - Invoice amount for dance choreography: ₹34,000 - TDS to be deducted: = ₹3,400
**Important Notes:** - Ensure that the vendor provides you with their PAN (Permanent Account Number) and correct details for TDS deduction and reporting. - File TDS returns (Form 26Q) and issue TDS certificates (Form 16A) to the vendor as per the due dates to comply with TDS provisions.
Always verify the specific details and applicability of TDS rates with your tax advisor or CA, especially considering any changes in tax laws or interpretations that may affect TDS deductions.
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