we are deducting tds for our clients under section 194C
section. exemption under this section is Rs.20000
suppose if a client bills more than Rs.20000, then i have
to deduct tds only for above Rs.20000/- bills or from the
first bill onwards.please clear me with as example

Answers were Sorted based on User's Feedback



we are deducting tds for our clients under section 194C section. exemption under this section is R..

Answer / dinesh

exemption means, if client bill will be less tnan Rs 20000
for a year then pls do not deduct tds. if it is more than
Rs 20000 then deduct TDS on full value. (there as such no
exemption on TDS, this limit Rs 20000 is only for whether
to deduct TDS or not)

TDS has to be deducted on full value ie do not reduce Rs
20000 from bill. if bill is Rs 25000 deduct TDS on 25000 ie
2% on 25000 & not 2% on 5000 (25000-20000)

Is This Answer Correct ?    18 Yes 3 No

we are deducting tds for our clients under section 194C section. exemption under this section is R..

Answer / rajat rastogi

if you paid more than 20000 to your clients in a financial
year you have to deduct tds from the first bill
onwards.suppose you have to pay the party of rs 30000 then
the tds amount will be 30000*2%= 600
you have to pay party= 30000-600= 29400.

Is This Answer Correct ?    11 Yes 0 No

Post New Answer

More Taxation Interview Questions

what is the difference between real expense and operating expense?

1 Answers  


WHAT IS THE LAST DATE FOR PAYMENT OF TDS FOR THE LAST QUARTER (i.e. 4TH QUARTER) FOR THE LAST THREE ASSESSMENT YEARS?

6 Answers   ABC,


What is the road permit I want to sale in outside of state what is the required Document and why.

7 Answers   Concept Concrete Enterprises, Hitachi, Syselec Technologies,


how ur caliclate fbt ?

2 Answers   BPO,


is vat applicable on services as well? please describe the services under vat?   

1 Answers  






How many heads are there under total income?

0 Answers  


How to calculate rental exemption if HRA is not given seperately and what will be the maximum allowability and under which Section of Income tax

0 Answers  


Provision for Service tax, Income tax and Sales tax

0 Answers   FSS,


computation of monthly income tax? example;-salary of male employee below 65 yr. of age the yrs inclusive of all perquisites is Rs.450000/- out of which rs.50000/- is account of non monetary perquisites and the employer opt.to pay the tax on such perquisites as per the provision?discusson above with reply

1 Answers  


Dear All, We are a trader and doing one E-1 sales. Supplier send the material by To-pay basis, we endorse the LR and sold to Customer. Customer has given the purchase order for Basic amount and freight amount also. That means we have to pay the freight and getting the reimbursement from customer. In E-1 sales Invoice can we show the freight amount separtely as freight ? Since the customer need the freight head should be shown separetly. Or can we raise the separate debit note for this. Is it create any tax implifications in E-1? Please claify the same at the earliest. regards Regards Thananjeyan.P

0 Answers  


CASH SALE OF Rs. 10000/- WITH TAX. THEN WHAT SHOULD BE THE ENTRY BEHIND THIS IN BOTH SIDE SALES AND TAXATION.

0 Answers  


What is the difference between SALES TAX and VAT?,When we'll pay VAT?,and when we'll pay VAT?

1 Answers  


Categories