Surcharge and Edu Cess on TDS

Ankur (Work) (70 Points)

07 October 2009  

Dear all,

I have a few confusions about the new TDS rates effective from 01.10.2009.

1. Whether the education cess of (2+1)% still applicable while deducting TDS? If no, can you please let me know the exact section that talks about it?

2. I understand from various communications that surcharge of 10% is not applicable on Individuals and HUF. What is the status of surcharge on Partnership firms and Domestic Companies while deducting TDS?

3. TDS u/s 194C for contractors (General) in case of Individuals and HUF has been reduced to 1%. Does it mean that if TDS u/s 194C is to be deducted of a partnership firm, we need to do it at 2%? If yes, how to identify on the basis of a PAN number whether the PAN is of Individual or a Partnership?

Many thanks in advance,

Ankur