In addition to other applicable TDS provisions, Insurance companies are compulsory required to deduct tax from following payments; commission paid to the agents; andmaturity proceedings paid to the policyholders. In this article, we will be discussing the TDS provisions for deduction of tax from insurance commission under section 194D. TDS provisions for insurance … [Read more...] about TDS on insurance commission – Section 194D
Tax Deducted At Source -TDS
When and How to deduct tax on rent – Section 194I
TDS on rent has to be deducted as per section 194I only when aggregate amount paid or to be paid or credited or to be credited exceeds Rs 1,80, 000 during the financial year. This means, tax should be deducted either at the time of payment or credit to the account of the payee, whichever is earlier. If rent for a financial year is likely to exceed Rs 1,80, 000, then we … [Read more...] about When and How to deduct tax on rent – Section 194I
Tax deduction account number or TAN – All You Need To Know
Tax deduction and collection account number (TAN) is a 10 digit alphanumeric number issued by the IT department to the person responsible for deducting or collecting tax at source. First 4 digits of the TAN is alphabets out of which initial 3 alphabets represent the jurisdiction code and the last one is the initial of the name of TAN holder. Next 5 digits are numeric and the … [Read more...] about Tax deduction account number or TAN – All You Need To Know
TDS on fees for professional or technical services – Section 194J
Tax has to be deducted from fees paid for professional or technical services to any person who is a resident in India. TDS provisions related to fees for professional and technical services are specified in section 194J. As per section 194J, tax has to be deducted from following payments; Fees for professional services, orFees for technical services, orRoyalty, orAny … [Read more...] about TDS on fees for professional or technical services – Section 194J
TDS on winnings from lotteries, crossword puzzles, games, horse races – section 194B and 194BB
Tax at the rate of 30% has to be deducted if winnings are from lotteries, crossword puzzles and games including card game. The person who is responsible for making payments to the winner of lotteries, crossword puzzles and games is required to deduct tax under section 194B at the rate of 30% from the winnings amount at the time of payment. Section 194B is not applicable … [Read more...] about TDS on winnings from lotteries, crossword puzzles, games, horse races – section 194B and 194BB
TDS on Interest on Fixed deposit – all you want to know
People often asks, is interest on FD taxable? What is the exemption limit of TDS on interest? How TDS on fixed deposit is calculated? In this article, we have discussed TDS provisions on interest on fixed deposits and provided answer to all of your questions. You can use our comment section below this article to ask us questions. Interest on fixed deposit is chargeable to … [Read more...] about TDS on Interest on Fixed deposit – all you want to know
TDS on Employee Provident Fund or EPF withdrawals – Section 192A
In order to discourage premature withdrawals from employee provident fund, government has introduced section 192A in finance act 2015. As per this section, TDS amount has to be deducted out of the withdrawals from employee provident fund or EPF if certain conditions are satisfied. Employee provident fund withdrawals are taxable in India if the employee doesn't render … [Read more...] about TDS on Employee Provident Fund or EPF withdrawals – Section 192A
TDS on Property Sale in India – Section 194IA
Mr. P Chidambaram has introduced section 194IA in the budget 2013-2014. With the introduction of section 194IA, TDS at the rate of 1% is to be deducted on sale of property transactions by the buyer while paying consideration money to seller. Section 194IA is applicable with effect from 1st of June 2013. Section 194IA states that, TDS at the rate of 1% is to be deducted from … [Read more...] about TDS on Property Sale in India – Section 194IA
Section 192 – TDS on salary
Employers including an individual or HUF who are responsible for paying any salary to any of their employee has to compulsorily deduct TDS from salary paid, if such salary amount is exceeding the basic exemption limit applicable to the financial year. As per section 192 of income tax act, TDS on salary has to be deducted at the time of payment to employee. TDS will not be … [Read more...] about Section 192 – TDS on salary
Losses and other incomes that can be disclosed to employer for TDS
As per section 192 of income tax act, an employee may furnish particulars of other incomes to employer that he has incurred during the financial year. While disclosing, employee can also disclose income tax that has already been deducted from such other incomes. After employee’s declaration, employer will consider other incomes and Tax deducted at source from it while … [Read more...] about Losses and other incomes that can be disclosed to employer for TDS