TDS Rates and Returns for Assessment Year 2013-14 (Financial Year 2012-13)
TDS Rate on Payment of Salary and Wages
| Section 192 | Payment of Salary and Wages |
|---|---|
| Criterion of Deduction | TDS is deducted if the estimated income of the employee is taxable. Employer must not deduct tax on non-taxable allowances like conveyance allowance, rent allowance, medical allowance and deductible investments under sections like 80C, 80CC, 80D, 80DD, 80DDB, 80E, 80GG and 80U. No tax is required to be deducted at source if the estimated total income of the employee is less than the minimum taxable income. |
| TDS Rate | As per Income Tax and Education Cess at the applicable rate on the estimated income of employee for the year. |
TDS Rates on Payments other than Salary and Wages
| Section No. | For Payment of | Criterion Total Payment During the Year | Payment to | |
|---|---|---|---|---|
| Individual or HUF | Others | |||
| 193 | Interest on Debentures | From 01.04.2012 to 30.06.2012 From 01.07.2012 | 10% | 10% |
| 194 | Deemed Dividend | - | 10% | 10% |
| 194 A | Interest by banks or others | More than Rs. 10000/- | 10% | 10% |
| 194 B | Winnings from Lotteries / Puzzle / Game | More than Rs. 10000/- | 30% | 30% |
| 194 BB | Winnings from Horse Race | More than Rs. 5000/- | 30% | 30% |
| 194 C (1) | Payment to Contractors | More than Rs. 30000/- | 1% | 2% |
| 194 C (2) | Payment to Sub-Contractors / for Advertisements | More than Rs. 30000/- | 1% | 2% |
| 194 D | Payment of Insurance Commission | More than Rs. 20000/- | 10% | 10% |
| 194 EE | Out of deposits under NSS | More than Rs. 2500/- | 20% | NA |
| 194 F | Repurchase of units by Mutual Funds / UTI | More than Rs. 1000/- | 20% | 20% |
| 194 G | Commission ons Sale of Lottery tickets | More than Rs. 1000/- | 10% | 10% |
| 194 H | Commission or Brokerage | More than Rs. 5000/- | 10% | 10% |
| 194 I | Rent of Land, Building or Furniture | More than Rs. 180000/- | 10% | 10% |
| 194 I | Rent of Plant & Machinery | More than Rs. 180000/- | 2% | 2% |
| 194 J | Professional / technical services, royalty | More than Rs. 30000/- | 10% | 10% |
| 194 J (1) | Remuneration / commission to director of the company | - | 10% | 10% |
| 194 J (ba) | w.e.f. 01.07.2012 Any remuneration / fees / commission to a director of a company, other than those on which tax is deductible under section 192. | - | 10% | 10% |
| 194 L | Compensation on acquisition of Capital Asset | More than Rs. 100000/- | 10% | 10% |
| 194 LA | Compensation on acquisition of certain immovable property | From 01.04.2012 to 30.06.2012 More than Rs. 100000/- From 01.07.2012 More than Rs. 200000/- | 10% | 10% |
Notes:
- No education cess is deductible / collectible at source on payments made to residents {Individuals / HUF / Society / AOP / Firm / Domestic Company) on payment of incomes other than salary or wages. Education cess @ 3% is deductible when such payments are made to non residents and foreign companies.
- TDS at higher rate of 20% has to be deducted if the deductee does not provide PAN to the deductor.(section 206AA)
- Surcharge is not deductible if payment is made to a dowmwstic company. However, surcharge is deductible @ 2%, if payment is made to a company other than a domestic company and the total of payment made / to be made during the year exceeds Rs. 1 Crore.
All persons who are required to deduct tax at source or collect tax at source on behalf of Income Tax Department are required to apply for and obtain Tax Deduction or Tax Collection Account Number (TAN).
Issue of TDS Certificate
1. Section 192 (TDS on Salary) :The certificate on Form No. 16 should be issued by the deductor by 31st day of May of the financial year immediately following the financial year in which the income was paid and tax deducted. 2. In all other cases :
The certificate on Form No. 16A should be issued within fifteen days from the due date for furnishing the "statement of TDS" under rule 31A.
Forms for submitting Quarterly Statements of Tax Deducted at Source (Rule 31A)
(a) Statement of deduction of tax under section 192 in Form No. 24Q
(b) Statement of deduction of tax under sections 193 to 196D in :
- Form No. 27Q in respect of the deductee who is a non-resident not being a company or a foreign company or resident but not ordinarily resident; and
- Form No. 26Q in respect of all other deductees.
Due Dates for submitting Quarterly Statements of Tax Deducted at Source (Rule 31A)
| Date of ending of the quarter of the financial year | Due date,if deductor is an office of the Government | Due Date for others |
|---|---|---|
| 30th June | 31st July of the financial year | 15th July of the financial year |
| 30th September | 31st October of the financial year | 15th October of the financial year |
| 31st December | 31st January of the financial year | 15th January of the financial year |
| 31st March | 15th May of the financial year immediately following the financial year in which deduction is made | 15th May of the financial year immediately following the financial year in which deduction is made. |
If you find the information given on this page useful or you notice any discrepancy or you have any suggestion to make, please send your feedback to finotax so that we can make this page more useful.
Disclaimer:
All efforts are made to keep the content of this site correct and up-to-date. But, this site does not make any claim regarding the information provided on its pages as correct and up-to-date. The contents of this site cannot be treated or interpreted as a statement of law. In case, any loss or damage is caused to any person due to his/her treating or interpreting the contents of this site or any part thereof as correct, complete and up-to-date statement of law out of ignorance or otherwise, this site will not be liable in any manner whatsoever for such loss or damage.