TDS query urgent

Mr. Surana

In ready reckoner, contract is for whole year , whereas here it is for 6 months only , hence no TDS to be deducted because aggregate payment is not likely to exceed Rs. 120000/180000.

My first view is same as Nicky sir....

Beacuse the Act says an amount exceeding Rs.120k during the year, or likely to exceed, which isn't likely in six months...

Pls note the reference is to the annual limit and not to a rate which would cross the limit.....

 Nicky View is correct , there is no need to deduct  TDS since it is not exceeding the threshold limit of Rs 1.20 Lakhs.

Hi friends

so far i know that

 TDS deduction is required while actual payment or contract amount exceeds the  threshold limit.

in the above case parties have agreed upon 6 months contract amounting rs.90000/-

so TDS liability does not arise.

kndly correct me if i m going wrong because i dont dare to go against hon'ble seniors suggestions.

thanks

vaibhav

Dear Friends,

In the given case the point of 6 Month contract requires more attention, it may happen Everyone throw light on the same.

Dear Kumar,

No need to deduct TDS as during the F.Y. you will pay only 90k while TDS Exemption Limit is either Rs. 120k or Rs. 180k.

Therefore in simple words you are not going to pay more than 120k or 180k; hence no TDS.

R R Sharma

(9099087201)

pls correct me if  i say mr. Nikit is right

Dear Friends,

We are discussing on 194I i.e. Rent Paid, not on Contract. Mr. Nicky u r right rule says like to exceed or likely to exceed, but this rule applies for Contract, Professional Fees, Advertisement. Please read carefully in Ready Recknor or Income Tax Rules/Act.

See if u r saying, it is 6 months Contract, then TDS should be deducted under Sec. 194C. But in actual Rent paid, so please read everybody.

Thanks & Regards

Rahul Kulkarni

Dear All,

Kindly help me with the following query:

W.e.f. 01st October 2009 TDS is not to be deducted on transporters who have provided their PAN. Whether the while filing the TDS return are we required to provide details of those transporters on whom we have not deducted the TDS?

Anyone having any information please reply.

Regards

Kaushik Malde

Dear Kumar Gurav,

I totally agree with Mr.Nicky. No need of TDS, if agreement is only for 6 month @ 15000 per month, as it does not cross the threshold limit of Rs. 1,20,000/- u/s 194 I.

Regards

Kanti Jain

Answer of Mr. Hitesh is very right keeping in mind if the period of contract is open. But in the given case I totally agree with Mr. Nicky Suggestion.

Also Please correct me if I am wrong, We should not go to the decision for choosing Sec 194C or 194I merely by the word "contract". Contract may be of any kind, it may be for renting a property or doing any professional work of a job work. It is the nature or work/services to be done by the contract that attracts whether we should go to Sec 194C, 194I or 194J for deducting TDS.

hi..

As the thresoldlimits are not violated there is no liability o Deduct TDS.

Simple.

Dear Mr. Kaushik

With reference to your query, yes you are right the said amendment in TDS provision by the deaprtment required the assessee to file the detail of amount paid/payable on which no TDS is deducted on transporter. But the format for the same is still not finalised for submitting the detail.

The procedure currently followed by us, we are maintaining the detail in excel file for such transactions with transporter and as and when the format is finalised we'll submit the same without any default.

SUGGESTIONS OF SENIOR MAMBERS ARE HIGHLY SOLICITED IN THE MATTER.

Regds/ Akhil Gupta

i agree with Hitesh Kothari

I am agree with Mr. Nicky, that no TDS will be applicable in this case, because he is in a agreement for 6 months only, if he had not any agreement than he will be liable for deducte TDS