TDS on interest of Fixed & Recurring Deposits

By | July 19th, 2017|Categories: TDS, TDS Laws|

When we talk about TDS on interest then interest comes either from your savings account which is not eligible for TDS on FD/RD. RD is basically a kind of Fixed Deposits (FD) which deposited in the bank at regular installments as per the scheme. While FDs are for those who have a large sum to secure, RDs are [...]

Process to revise TDS returns

By | July 19th, 2017|Categories: TDS|

Introduction Once you have filed your TDS returns with NSDL, you might realize that there is an error in the returns. These errors can be because of various reasons like incorrect deductions or incorrect challan details or incorrect PAN details of a deductee. The revise TDS returns are necessary. To revise TDS returns, you will need [...]

Section 194J: TDS on Professional Fee

By | July 18th, 2017|Categories: Return Filing, Return Filing Forms, TDS, TDS Laws, TDS Rates|

Section 194J of the  Income Tax Act of 1961, states that An individual should deduct TDS on professional fees paid by him to a resident exceeding Rs. 30,000/- Deductor Deductor of TDS on professional fees is a person (other than individual or HUF who is not liable to audit under section 44AB) who is paying to resident: Fees [...]

Section 194H: TDS on Commission Income

By | July 18th, 2017|Categories: Return Filing, Return Filing Forms, TDS, TDS Laws, TDS Rates|

As per Section 194H of the Income Tax Act, TDS on commission income is required to be deducted by every person who is making the payment of such commission or brokerage. Deductor For the purposes of section 194H, a deductor is a person who is making the payment in the form of commission or brokerage to [...]

Consolidated file and Downloading Procedure

By | July 18th, 2017|Categories: TCS, TDS|

Introduction Conso file is a consolidated data of the statements that are processed (regular and correction) for the relevant financial year, quarter and the form type. Deductors have to furnish a quarterly TDS (Tax Deducted at Source)/TCS (Tax Collected at Source) statement as per the Income Tax Department guidelines. For any changes in the quarterly TDS/TCS statement, [...]

Section 197: TDS Exemption Certificate

By | July 17th, 2017|Categories: Return Filing, Return Filing Forms, TDS, TDS Laws, TDS Rates|

Introduction Section 197 of the Income Tax Act, 1961 provides for the facility of NIL or Lower tax rate deduction of TDS (or TDS exemption). This section strikes a delicate balance between the requirement of cash flow to the taxpayer and realizing the government dues at the earliest. We all know that, TDS is a method of [...]

Form 26QB: TDS on Sale of Immovable Property

By | July 17th, 2017|Categories: Return Filing, Return Filing Forms, TDS|

Introduction From June 1st, 2013, when a buyer buys immovable property (not agricultural land) that costs more than Rs. 50lakhs, then the buyer will deduct the TDS while making payment to the seller under section Income Tax Act. For paying TDS, the seller will obtain Form 16B and Form 26QB for the buyer. Provisions The buyer will [...]

Foreign Tax Credit (FTC) and DTAA

By | July 15th, 2017|Categories: TDS, TDS Laws|

Introduction Foreign Tax Credit (FTC) is mentioned in Section 90 and Section 91 of Income Tax Act, 1961.  In India, taxability totally depends on the residential status and the source of income. Both Non-Resident (NR) and Not Ordinarily Resident (NOR) is taxed on the Indian sourced income. A Resident and Ordinarily Resident (ROR) are taxed on [...]

Section 194C: TDS on Payment of Contractor

By | July 15th, 2017|Categories: Return Filing, Return Filing Forms, TDS, TDS Laws, TDS Rates|

TDS on contract is required to be deducted at the time of making any payment by the person who is making the payment for the contract. Under the Section 194C of Income tax which deals with any TDS on payment of contractor & Sub-Contractor. Section 194C: TDS on Contract If any individual is liable for paying [...]

Return on Investments without TDS

By | July 14th, 2017|Categories: TDS|

Introduction It is not that all financial instruments deduct TDS (Tax Deducted at Source). There are certain investments where there is no TDS deduction as mentioned below with a detailed comparison. Investments without TDS 1. Investments in ELSS funds Equity Linked Savings Scheme (ELSS) is a tax-saving mutual fund that invests at least 65% of their assets in [...]