There is an TDS dection made by Income Tax CPC u/s 195 on interest paid to an HUF Assessee who is resident.??
Is there something else other than Payment to NRI u/s 195 ..??
TDS was deducted at the rate of 30% with 2% +1% cess.
Please confirm
Nirmit Choraria (CA Final) (1333 Points)
21 February 2013There is an TDS dection made by Income Tax CPC u/s 195 on interest paid to an HUF Assessee who is resident.??
Is there something else other than Payment to NRI u/s 195 ..??
TDS was deducted at the rate of 30% with 2% +1% cess.
Please confirm
C.A. Jignesh N. Mehta
(C.A.)
(1030 Points)
Replied 21 February 2013
There are few points:
1. HUF being resident - Section 195 is not applicable to the HUF.
2. However, TDS to be deducted is the lower of the following:
a) Rate as per DTAA
b) Slab Rates
c) Rates as per provision of Section 115 (applicable to NRI)
Based on above the TDS should be deducted and not @ 30%.
Nirmit Choraria
(CA Final)
(1333 Points)
Replied 23 February 2013
But the TDS has been deducted by the AO CPC u/s 195 for HUF on Interest paid by him on TDS refund.
The HUF or Karta both are resident. So why its being done its a matter of a question
Anyone else if have revceived such deduction please share about it.
GSTR 9 and 9C for FY 23-24 as amended by Notification 12/2024 dated 10th July 2024(with recording)
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