MR. CA (Auditor,) (537 Points)
23 November 2010HELLO,
IF A PERSON WIN LOTTERY1 LACS SUPPOSE,
THEN DOES NOT QUOTE PAN
THEN UNDER SECTION 206AA, MAXIMUM OF 20% OR 30 % TDS IS TO BE DEDUCT,
AND NO SURCHARGE , NO EDUCATION CESS.
THEN ON 1 LACS 30% TDS30000/- DEDUCTED.
IT MEANS HE IS ESCAPED FROM EDUCATION CESS AMT THAT IS 30000*3% = 900/-
BCOZ HE NOT FILLED RETURN OF INCOME TAX.
MR. CA
(Auditor,)
(537 Points)
Replied 23 November 2010
DO NOT THINK THAT MUCH LIBERAL TO INCOME TAX DEPARTMENT
Santhosh Poojary
(SIEMPRE AHÍ PARA TI)
(15607 Points)
Replied 23 November 2010
Flat Rate 30% along with EC & SHEC
CA AYUSH AGRAWAL
(Kolkata-Pune-Mumbai)
(26986 Points)
Replied 23 November 2010
No Sec 194(1) Will Apply..............
and No Escape
Ajay Garg
(CA FINAL)
(101 Points)
Replied 25 November 2010
what should be about income of "kaun banega crorepati" whether tds of 30% should be deduct if yes, than why Amitabh Bachan sign the cheque of full payment.
CS Ankur Srivastava
(Company Secretary & Compliance Officer)
(17853 Points)
Replied 25 November 2010
It must be chargeable to TDS under section 194B @ 30%{(flat rate) no EC or SHEC}
CS Ankur Srivastava
(Company Secretary & Compliance Officer)
(17853 Points)
Replied 25 November 2010
Winnings from lottery or crossword puzzle.
94B. The person responsible for paying to any person any income by way of winnings from any lottery or crossword puzzle [or card game and other game of any sort] in an amount exceeding [ten thousand rupees] shall, at the time of payment thereof, deduct income-tax thereon at the rates in force :
[***]]
[Provided [***] that in a case where the winnings are wholly in kind or partly in cash and partly in kind but the part in cash is not sufficient to meet the liability of deduction of tax in respect of whole of the winnings, the person responsible for paying shall, before releasing the winnings, ensure that tax has been paid in respect of the winnings.]
Manoj BG
(Tax Professional and in Service)
(1795 Points)
Replied 25 November 2010
HEY AJAY,
1. In case of Kaun Banega Crorepati, we dont know the exact method of making payment. i.e. whether it is net of Tax or its gross.
2. If its gross, they might have been following the method of TDS deductions as most of the others who gives the winning in kind is followed that to collect the TDS applicable frm winner and deposit the same. (us 194B)
Since the method speciafied in 2. above is applicable for winnings in kind or winnings partly in kind and partly in cash only. Thus, my view is that KBC gives the cheque net of tax (i.e. whetever amount signed by AB is net of tax only) means rs.3.20 lakhs is net amount and TDS paid by KBC by reverse working.
This is my personal views and can be wrong.
Regards,
Manoj
M .K. Jha
(CA Final)
(484 Points)
Replied 25 November 2010
Where an assesee does not quote Pan then Tds Should be applicable @ 20% or Higher as per TDS rate and after 01-04-2009 edu. cess is demolish so it should not be applicable even if assesse does not file Income tax return.........
It must be chargeable to TDS under section 194B @ 30%{(flat rate) no EC or SHEC}
Manoj BG
(Tax Professional and in Service)
(1795 Points)
Replied 25 November 2010
Mr CA,
Education cess on TDS not at all applicable to TDS provisions (Except Salary payment) as per Finance act 2009 . Hence, flat rate of 30% would have to be deducted without Education cess. Section 206AA is only a penalised provisions and it provides the applicable rates to be replaced with penalised rates if transaction doesnt complies with provisions contained in sec 206AA. Thus, only the higher of two rates would be chargeable to TDS.
Regards,
Manoj
GSTR 9 and 9C for FY 23-24 as amended by Notification 12/2024 dated 10th July 2024(with recording)
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