Individual,
HUF, AOP and BOI
Where Total Payment exceeds 10 Lacs
Individual,
HUF, AOP and BOI
Where Total Payment upto 10 Lacs
TDS
is not required if amount does not exceed
Rate
SC
EC
Total
Rate
SC
EC
Total
Rate
SC
EC
Total
Rate
SC
EC
Total
Rate
SC
EC
Total
Interest on
Securities
20
10
3
22.66
10
10
3
11.33
10
0
3
10.30
10
10
3
11.33
10
0
3
10.30
Rs. 5000/-
Other
Interest
20
10
3
22.66
10
10
3
11.33
10
0
3
10.30
10
10
3
11.33
10
0
3
10.30
Rs. 5000/-
Winning from
Lotteries
30
10
3
33.99
30
10
3
33.99
30
0
3
30.90
30
10
3
33.99
30
0
3
30.90
NIL
Payment
to Contractors
2
10
3
2.266
2
10
3
2.266
2
0
3
2.06
2
10
3
2.266
2
0
3
2.06
*
Payment
to Advertisement Agencies/ Sub-
contractors
1
10
3
1.133
1
10
3
1.133
1
0
3
1.03
1
10
3
1.133
1
0
3
1.03
*
Insurance
Commission
20
10
3
22.66
10
10
3
11.33
10
0
3
10.30
10
10
3
11.33
10
0
3
10.30
Rs. 1000/-
Commission/
Brokerage **
10
10
3
11.33
10
10
3
11.33
10
0
3
10.30
10
10
3
10.30
10
0
3
10.30
Rs. 2500/-
Rent other
than Machinery & Plant
20
10
3
22.66
20
10
3
22.66
20
0
3
20.60
15
10
2
16.995
15
0
3
15.45
Rs. 120000/-
Rent for use
of Machinery & Plant and other equipment
10
10
3
11.33
10
10
3
11.33
10
0
3
10.30
10
10
3
11.33
10
0
3
10.30
Rs. 120000/-
Professional
Fees **
10
10
3
11.33
10
10
3
11.33
10
0
3
10.30
10
10
3
11.33
10
0
3
10.30
Rs. 20000/-
Salary
N.A.
N.A.
N.A.
At
the rates Applicable to Particular Slab of Income
At
the rates Applicable to Particular Slab of Income
*Where
Contract Amount does not exceeds Rs.20000/- Or Aggregate Payment
does not exceed Rs.50000/-
**
Basic Rate is 5% upto 31-05-2007
#
Surcharge is not applicable in case of Firms and Domestic Companies in the
payment does not exceeds Rs. 1 Crore.
Notes:
Tax
is to be deducted at the time of Payment or credit whichever is
earlier except for salary.
In
case of salary, tax is required to be deducted monthly at the time of
payment where estimated taxable salary after considering deductions,
exemptions and rebates is positive.
In
case of working for TDS on salary: -
Deductions
under Sec 80C, 80CCC, 80D, 80DD, 80DDB, 80G, 80GG and 80U are to be allowed to the assessee for
arriving at the tax to be deducted.
While
determining the amount of TDS, INCOME and NOT LOSSES from any other
head of Income may be considered except any Loss under the head Income
From House property which can be considered.
Donations
to ALL Charitable Institutions are not considered for 80-G. Only
certain specified donations viz. Donation for earthquake relief fund
etc are to be considered
TDS Certificate in respect of salaries is to be issued
in Form 16 or 16AA (as applicable) and in any other case, it is to be
issued in Form 16A
Form No.16AA (Salary Certificate-cum-Return of Income)
An individual, resident in India can issue this form only if:
his total income includes income chargeable
to income-tax under the head Salaries.
the income from salaries before allowing
deductions under section 16 of the Income tax Act,1961 does not exceed
Rs.1,50,000/-
his total income does not include income
chargeable to income-tax under the head Profits and gains of business
or profession or Capital gains or Agricultural income and
he is not in receipt of any other income
from which tax has been deducted at source by any person other than
the employer.
Quarterly Statements
Form 24Q in case of Salaries
Form 26Q in any other case
Form 27Q for payment to
non-residents other than salaries
Due dates for filing above
returns are as follows
First Quarter
15th July
Second Quarter
15th October
Third Quarter
15th January
Last Quarter
15th June, following the last quarter
TDS Certificate for Payment of Salary is to be issued
up to 30th April of ensuring financial year and in respect
of other payments, it is to be issued within one month from date of
payment
For the TDS made on different dates during the
financial year , upon request of the payee ,a consolidated certificate
may be issued within one month from the end of the financial year i.e.
before 30th April.
If the amount is not paid but credited to the account
of the payee on the last day of the accounting year.ie. 31st March the
TDS Certificate has to be issued within 2 months and 7 days from the
end of the year i.e. before 7th June.
With respect to Interest on time deposits with a
Banking company or Co-operative bank, the limit of Rs. 10000/- is qua -
branch.
Tax deducted is to be deposited within one week from
the end of month in which deduction is made
If the amount is not paid but credited to the account
of the payee (except payment of salary) on 31st March, TDS has to be
deposited within 2 months of credit i.e. before 31st May.
W.e.f 1.6.2002, An individual or an HUF who was liable
to Tax Audit in the immediately preceding year are liable to
deduct tax in respect of payments viz. Interest (other than Interest
on Securities to Residents), Contractual Payments , Commissions or
brokerage, Rent, Professional Fees as given in the above table.
S. 199 - Credit for tax deducted:
Credit will be given for the assessment
year in which such income is assessable.
Where such income is assessable in the
hands of any other person, credit shall be given to such other person.
When any security, property etc. is jointly
owned by two or more persons not constituting partnership, credit for
TDS on income there from shall be given to such persons in the
proportion in which the income is distributed.
W.e.f. 01/10/04 tax on Contract has to be deducted
when
Amount of Single Contract is more than Rs.
20,000/-
Amount of Single Contract is less than
equal to Rs.20, 000/- and aggregate payment is more than Rs.50, 000/-
W.e.f. 01/06/2001 a person responsible for paying
salary (employer) is required to furnish to the employee to whom such
payment is made, a statement giving correct and complete particulars
of perquites and/or profits in lieu of salary provided to him and the
value thereof in the prescribed form No12BA if the amt. of salary paid
or payable to the employee is more than Rs.1, 50,000/- & Form No.
16 if the amt. of salary paid or payable to the employee is not more
than Rs.1, 50,000/-
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