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TDS Query! urgent?!

bhavik mehta (C.A.) (526 Points)

20 November 2009

frnds

i am maintaining books of C.A. as per cash basis

now if ther is a rceipt of cheque for audit of bank of p.y.2008-09 , which is actually received in may-09,then as per cash base i have to make entry of cash / check in may-09 only. but what abt t.d.s. .

amount deduct as T.D.S.,

how can i claim under incometax ?

form no. 16A of tax deduct at source tax deducted for p.y. 2008-09.

pls reply me. & give more details to clear this one.

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8 Replies

Deepak Tapse (Accounts Manager - Taxation) (1771 Points)
Replied 20 November 2009

You can claim on receipt basis (In current Year)

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(Guest)

claim TDS in current year (as cash basis) and in last year balance sheet show balance of TDS as Loan and Advances

machender (student) (190 Points)
Replied 20 November 2009

TDS can be claimed if the Remittance of TDS has done before the end of the relevant previous year of the Assessment year. so u can claim TDS in the A.Y 2009-2010

Juzer Sadikot (CA - innovative solutions for Imports and Exports) (1309 Points)
Replied 20 November 2009

Dear Bhavik,

As per sub-rule 3 of rule 37BA of IT Rules 1962, credit of TDS is given in the assessment year in which income is assessed, in your case F.Y. 2009-10

Further Sub-rule 4 provide for method of allowing credit, i.e. the ITO shall check E-tds details and ITR details before allowing credit of TDS. Further he may allow credit of TDS considering risk policy.

Also, in general practice, ITO doesn’t raise much objection for allowing credit in genuine cases like yours and it is possible to claim credit of TDS in F.Y. 2009-10.

In case you are claiming such credit in F.Y. 2008-09, ITO may allow you credit of TDS (although legally it is not permissible).

FYI

37BA.

(3) (i) Credit for tax deducted at source and paid to the Central Government, shall be given for the assessment year for which such income is assessable.

(ii) Where tax has been deducted at source and paid to the Central Government and the income is assessable over a number of years, credit for tax deducted at source shall be allowed across those years in the same proportion in which the income is assessable to tax.

(4) Credit for tax deducted at source and paid to the account of the Central Government shall be granted on the basis of –

(i) the information relating to deduction of tax furnished by the deductor to the NSDL: and

(ii) the information in the ROI,

subject to verification in accordance with the risk management strategy formulated by the Board from time to time.]

Thanks and Regards

Juzer

1 Like

vikaskamra (CA Final Student) (132 Points)
Replied 20 November 2009

you can claim the tds in the year in which you have received the professional fees...

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Mahadeo Gawas (CA Final) (45 Points)
Replied 20 November 2009

Company is providing space for goods handling at port. Under what head this Income is chargable. Whether company is liable for service tax on.

Jayant Kaulgud (Sr Manager Accounts) (33 Points)
Replied 20 November 2009

u/s 195 (2) of the I Tax Act, the payer of an amount to Non resident/Foreign Company has to apply to the assessing officer, in case TDS has to be at a lower rate or without deduction of tax at source. I have following questions a) has the department prescribed any form for such an application, b) Such certificates have to be necessarily payment to payment basis of can a certificate be obtained covering a period of time say 6/12 months, c) Payment of demurrage to a non resident shipowner is covered by sec 172 and circular 723 specifically clarifies that the same does not fall within the ambit of sec 195. Can the experts enlighten me especially in view of decision of Hon'ble Bombay High Court in case of Orient Goa and Karnataka High Court decision iro TDS on foreign payments