TDS Rates and Returns for Assessment Year 2014-15

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 (Rs. 2,20,000/- in case of Individual, HUF, AOP, BOD and AJP. Nil for others.)
TDS Rate
As per Income Tax, Surcharge and Education Cess rates applicable on the estimated income of employee for the year


TDS Rates on Payments other than Salary and Wages to Residents (including domestic companies)
Section
For Payment of
On Payments Exceeding
Individual/HUF
Others
193
Interest on Debentures
Rs. 5000/-
10%
10%
194
Deemed Dividend
No minimum
10%
10%
194 A
Interest other than on securities by banks
Rs. 10000/-
10%
10%
194 A
Interest other than on securities by others
Rs. 5000/-
10%
10%
194 B
Winnings from Lotteries / Puzzle / Game
Rs. 10000/-
30%
30%
194 BB
Winnings from Horse Race
Rs. 5000/-
30%
30%
194 C (1)
Payment to Contractors
Rs. 30000/- for single payment
Rs. 75000/- for aggregate
payment during Financial Year
1%
2%
194 C (2)
Payment to Sub-Contractors / for Advertisements
194 D
Payment of Insurance Commission
Rs. 20000/-
10%
10%
194 EE
Payment of NSS Deposits
Rs. 2500/-
20%
NA
194 F
Repurchase of units by Mutual Funds / UTI
Rs. 1000/-
20%
20%
194 G
Commission ons Sale of Lottery tickets
Rs. 1000/-
10%
10%
194 H
Commission or Brokerage
Rs. 5000/-
10%
10%
194 I
Rent of Land, Building or Furniture
Rs. 180000/-
10%
10%
Rent of Plant & Machinery
Rs. 180000/-
2%
2%
194 IA
Transfer of Immovable Property (w.e.f. 01.06.2013)
Rs. 50 lacs
1%
1%
194 J
Professional / technical services, royalty
Rs. 30000/-
10%
10%
194 J (1)
Remuneration / commission to director of the company
10%
10%
194 J (ba)
Any remuneration / fees / commission paid to a director of a company, other than those on which tax is deductible u/s 192.
10%
10%
194 L
Compensation on acquisition of Capital Asset
Rs. 100000/-
10%
10%
194 LA
Compensation on acquisition of certain immovable property
Rs. 200000/-
10%
10%

Notes:
  1. No surcharge or 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.
  2. TDS at higher rate of 20% has to be deducted if the deductee does not provide PAN to the deductor.(section 206AA)
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 :
  1. 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
  2. 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.



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