Urgent query, plz revert

TDS 870 views 4 replies

anony

MANAGER

145 Points Joined July 2007

DEAR SIR,

I HAD MADE SEVERAL PAYMENTS TO A CONTRACTOR TILL FEBRUARY'12 TOTATL RS. 60,000/-, NONE OF THESES PAYMENTS EXCEEDED RS. 30,000/-, SO I DID NOT DEDUCT TDS.

BUT DURING THE MONTH OF MARCH'12, I MADE APAYMENT OF RS. 20,000/-, SO THE TOTAL PAYMENTS CROSSED THE LIMIT OF RS. 75,000/-, MY QUEST, ON WHAT WHAT AMOUNT DO I NEED TO DEDUCT TDS:

(A) RS. 5,000/- BY WHICH THE TOTAL PAYAMENTS CROSSED THE LIMIT OF RS. 75,000/-

(B) ON RS. 80,000/- TOTAL AMOUNT PAID DURING THE YEAR.

(C) DO I NEED TO PAY INTEREST ON TDS FOR THE AMOUNTS PAID PRIOR TO MARCH'2012, AS I HAD NOT DEDUCTED TDS ON THOSE AMOUNTS EARLIER.

KINDLY REVERT BACK.

THANKS,

LALIT DHABRIA

Replies (4)

Nisha Yadav

Accounts exe

455 Points Joined April 2012

no u not need to pay interest but u have to deduct tds on 80000/-.

Patel Dhaval

Audit article

79 Points Joined February 2011

You have to deduct TDS on Rs 80,000/-. You will not have to pay interest if the TDS is deposited before 30/04/2012.

Guest

no interest. tds should be always deducted on full amount

CA Akshay Kumar Mishra

Chartered Accountant

1784 Points Joined April 2009

as per section 194c No TDS is to be made where sum credited or paid or likely to be credited or paid does not exceed Rs.30000/-. However, if aggregate of the amount of such sums credited or paid or likely to be credited or paid in the financial year exceeds Rs.75,000/-, TDS is required to be made in the above case payment made in the month of march l12 shall be liable to deduct tds u/s 194c as when the agreegate amount paid.in the financial year exceeded rs 75000 ... TDS shall be deducted on 80000 there is no interest on tds will be payable for payments made before march 12. as tds provisions ws nt applicable on the same....