Naveen (Accountant) (47 Points)
16 February 2012Hi,
We are a online gaming company, users will play skill games on the website to win cash prizes. If they are winning more than 10,000 in a game we are deducting 30% TDS under sec 194B.
We will also be giving Bonus to players like joining bonus, special festival bonus, referral bonus etc. Please let me know if TDS is applicable on this Bonus payout, if so under what section.
Thanks in advance
Mihir
(Wealth Manager)
(5293 Points)
Replied 17 February 2012
I think it should be 194B. Bonus in your case is like a reward points to the players.
Wait for others to reply.
Dipjyoti Majumdar
(CA in service & CS. dipmaj@ rediffmail.com )
(3468 Points)
Replied 17 February 2012
Very interesting issue to discuss. I think Mihir is correct. However, whether joining bonus, referral bonus etc can be subjected to 194J or 194C can be also explored.
I would request seniors to share their thoughts please.
Regards,
GSTR 9 and 9C for FY 23-24 as amended by Notification 12/2024 dated 10th July 2024(with recording)
CAclubindia
