Parmod Agarwal (Assistant Manager) (394 Points)
09 January 2010Dear Sir,
My Query is:
Is it right to submit the details of those employees who's annual salary excees Rs. 160000/- (Exceeds above exemption limit) in Quarterly TDS Return?
Can we issue the Form No 16 of those Employees who's Annual Salary Income Exceeds Rs. 160000, either the TDS has been deducted or Not?
What is the Mandatory Limit of Issue of Form No 12 BA ?
Please Urgent Reply.
Thanks in Advance
Parmod
Amir
(Learner)
(4016 Points)
Replied 09 January 2010
Dear Pramod,
I think Information of ALL employees should be sent in quarterly returns & not only in respect of those employees whose salary exceeds exemption limit..
As I stated earlier Form 16 is mandatory for those employees where TDS is deducted..But it;s not that it cannot be issued to other employees.
Practically Form 16 is issued to ALL EMPLOYEES, therefore there are cases of Nil Deduction in Form 16..
Form 12 BA is required for Valuation of perquisites, the valuation of perks from Form 12 BA is carried over to Form 16..therefore It is advisable to attach with Form 16 even in cases where there are No pers or Valuation us Nil..
Tell me one thing Brother, Y causing so much confusion whether it is mandatory or not...make it simple Form 16 (along with Form 12 BA) should be issued to ALL EMPLOYEES..Afterall it something which software has to do, I don't find any reason for making things complicated for urself..
Sorabh Gupta
(Manager ( Taxation ))
(877 Points)
Replied 09 January 2010
Mr. Agarwal
In quarterly return , you have to submit the details og those employees whose TDS has been dedcuted.In other words, employees whose salary does not exceeds the minimum exemption limit , details of such employee are not mandatory in quaterly return.
Next Question, As per Rule Form 12BA will be issued to those emplyee whose TDS has not been deducted in a financial year.
But it doesn't means that we can't issue TDS certificate to such employees. i.e. TDS certificate can be issued to all employee whether TDS was deducted or not.
Hope You have no doubts.
Amir
(Learner)
(4016 Points)
Replied 09 January 2010
Dear Sorabh,
Form 12 BA deals with Valuation of perks, it has nothing to do with Non deduction of TDS...
Correct me if i m wrong!
CA Dhiraj Ramchandani
(CA, M. com)
(10823 Points)
Replied 09 January 2010
HI AMIR, ur doubt is correct, even i do consider that Form 12 BA has got nothing to do wid TDS non deduction as it is reffered as :
"Form No.12BA which will be a statement showing particulars of perquisites, other fringe benefits or amenities and profits in lieu of salary with the value thereof. "
CA Ankit Bhutoria
(CA )
(372 Points)
Replied 09 January 2010
what to do if the contractor does not have a pan & we have a liab to deduct tax & what happens if we deposit by our pocket
CA Parag Jani
(BCom CA DISA Forensic Auditor)
(288 Points)
Replied 09 January 2010
| Originally posted by : Ankit bhutoria | ||
 |
what to do if the contractor does not have a pan & we have a liab to deduct tax & what happens if we deposit by our pocket |  |
In case contractors does not have PAN, then you have to deduct TDS @ 1% for Individuals ands HUFs and @ 2% for others. In case you decide to deposit the same out of your pocket, you can very well debit the contractor in your books and recover the TDS so deposited! It'll be the case of gross payment where, for example, you were to pay Rs.95 after deducting TDS of Rs.5 but you paid full amount viz. Rs.100 and in addition you paid TDS of Rs.5 to the credit of government. So infact you paid Rs.105/- to the contractor. Rs.100/- directly and Rs.5/- through TDS. So you can adjust the TDS into his account or recover the same from him through cash or cheque.
I hope you're clear now.
balgopal
(accountant)
(40 Points)
Replied 09 January 2010
I recently join a software company who is channel partner of microsoft. we purchase axpata licence for our client from microsoft actually we receive commission from microsoft against that purchase. vat & service tax both charged by microsoft on our bill. so suggest me how i bill on our client. Actually we want to charge only purchase price from them>(ques. suggest me we have to charge vat & service tax or not on our clien bill?
)
CAclubindia
