Cut off date of TDS at reduced rates

Whether the cut off date of TDS deducted at reduced rate is date of payment or financial year. eg. if book entry of 94J done on 31.03.2021 and payment of tds done on 01.04.2021, whether it will be deducted @ 7.5% or 10%.  

Replies (6)
Quick Summary
This discussion clarifies the cut-off date for TDS deductions at reduced rates. It addresses whether the date of payment or the financial year determines the applicable rate. Specifically, it examines a scenario where a book entry for TDS under section 94J was made on 31.03.2021, but the TDS payment occurred on 01.04.2021. The consensus is that the reduced rate (7.5%) applicable until 31.03.2021 for COVID-19 relief would not extend to payments made on or after 01.04.2021, which would fall under the rates for FY 2021-22 unless new reduced rates are officially announced.

Cut off date  is  31/3/2021

so in the above example, tds will be deducted at what rate.

From 1/4/2021 tds will be applicable as per TDS  rate applicable  for F.Y 2021-22

So does it mean that it will continue at reduced rate for FY 2020-21 even though payment is done after 31.03.2021?

Reduce rate of  TDS  is applicable up to 31/3/2021  for  covid 19  . you can not apply same reduce rate from 1/4/2021.

If  any  reduce rate  from 1/4/2021  , you have confirm  from  Income Tax  Department . 

Leave a Reply

Your are not logged in . Please login to post replies

Click here to Login / Register  

Company
09 September 2026
Semi Qualified CA / CA Inter - 2 Groups Cleared

Getmyca Consultant Pvt Ltd

New Delhi

CA Inter

View Details
Company
22 September 2026
Account Assistant

Chirag P Shah & Co. Chartered Accountant

Pune

B.Com

View Details
Company
20 September 2026
Semi Qualified CA

Navin & Associates

Mumbai

CA Inter

View Details
Company
Featured 21 September 2026
Consultant - Reporting

Finrep Advisors LLP

Mumbai

CA

View Details
Company
ARTICLESHIP 28 September 2026
Junior Accountant

J S P M & Associates LLP

Pune

B.Com

View Details
Company
ARTICLESHIP 18 September 2026
Industrial Trainee

Twenty Point Nine Five Ventures Private Limited

Noida

CA Inter

View Details
Company
ARTICLESHIP 15 September 2026
Freelance Taxation Content Writer Intern

Interactive Media Pvt Ltd.

New Delhi

CA Inter

View Details
Company
Featured 12 September 2026
Assistant Manager - Finance & Compliance

Naveen Fintech Pvt Ltd

Kolkata

CA Inter

View Details