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TDS on transporters

CA Akhilesh Verma (Practicing Chartered Accountant) (55 Points)

05 October 2011

Is there any limit for payment to transporter to deduct tds in case of no pan card no. given by transporter? URGENT

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6 Replies

CA PRAVEEN SINGH (MANAGER ACCOUNTS) (2277 Points)
Replied 05 October 2011

NO TDS IS DEDUCTED FOR PAYMENT MADE TO TRANSPORTER....PROVIDED PAN NO IS PROVIDED...

IF NO PAN THEN DEDUCT TDS 20%

THERE IS A LIMIT OF CASH PAYMENT TO TRANSPORTER....UP TO Rs...35000....only in case of trnsporter....

OTHER CASH PAYMENT...MAXI 20000 ALLOWED...

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CA Parag Jani (BCom CA DISA Forensic Auditor) (288 Points)
Replied 05 October 2011

For TDS aspect on payment made to transporters, the limits are Rs.30,000 for single transport voucher or Rs.75,000 of transport expense per transporter per annum. if total PAYMENT/CREDIT to transporter exceeds these limits then TDS provisions apply.

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IPSA ;) ($) (611 Points)
Replied 05 October 2011

if Pan is not provided Tax has to be deducted at 20 % or above rate...

for more refer https://www.simpletaxindia.org/2011/04/tds-rate-chart-11-12-fy-tds-rate-12-13.html

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valji (Accounts manager-MBA) (2150 Points)
Replied 05 October 2011

agreee with mr jani

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UMESH MAHESHWARI (PRACTICE) (59 Points)
Replied 05 October 2011

Section 206A for TDS at higher rate for not submission of PAN applies to the transactions on which tax is deductible under Chapter XVIIB.In case of transport contract TDS is required to be deducted if single payment exceed 30000/- or sum of total payment to single person exceed 75000/- in a year.In your case if single pmt doesnot exceed 30000/- or if aggregate of all payments is not going to exceed 75000/- then you are not liable to deduct tax @ 20%