Amount paid is rs 996. If TDS deducted by party is 99 taking rate as 10%. Will such rounding off lead to notice by department for short deduction?
What is the method supposed to be in case of decimal figures as TDS amount?
Section 288B. The amount of tax (including tax deductible at source or payable in advance), interest, penalty, fine or any other sum payable, and the amount of refund due, under the provisions of this Act shall be rounded off to the nearest rupee and, for this purpose, where such amount contains a part of a rupee consisting of paise, then, if such part is fifty paise or more, it shall be increased to one rupee and if such part is less than fifty paise, it shall be ignored.'
CAclubindia
