TAX DEDUCTION AT

OOURCE 7DS
INTRODUCTION OF TDS
Tax deduclf on o Sounce [TDS] un TndPa
Us a means bColecdfrg tax on ncome,
dRTdends 0 amets Salus by wtirg the Payey
aRTdands
to deduct tax ouue ba e Paying the bculance
t0the Payee and the t a to be sevenue

authstit)
uhda the Tndfa TnCsme tay AcA b 1961,

Tncerne ta mut be dedluced at SOusi Ce as Pej

the Puou Pofonb B the f'nome tax Act 6 Any

un olwithene PLovisona sh all
Peuyment coueud
be Patd ater deducting a PusuTbaol Pvcencdeiae
& ntorme tdx . 4 s managrd b
Ptendttg
the Centaa
Boatd p Disect tatesCBPTJ and is Par
4he epascmend b Revenu m anagedl y

Thelfan Pevene Seewice T has a gucut

fmporttanto while Concducsing t a audh. Amenee
Aalso Juauiud to l e u a t l l atutn
-Bo CBPT Pe-twins 3-fetas dhe TDS declucde (
and Pafdto 3oueinment cluwîng he
Utuate to uOhteh elats.
 ) Tax Delucte colected B Pai as Advane
bax Pn the Puuious yecwt [ Secfon 90],
Tax decluctel ad soubiteCTDS:In ca
eCeutanintemis |Pay mentts tcx deolueted
at 90uwie by the Paye at the Pasco bed
State a the time b acCLoul Do Payment

Such încome to the ayee

s o w i t e LTcSJ:
In Caje
Tax Collect ed at
act SoustCo by
by the
t h
Qtain C a s e s , tq is Co tlected
Pesen o m
his
h+s
sello om bye 0z debtfnq the
the time
ete at
ufcen Cee | demee the beue tcen Cee
accouht
amo cun to whichewwj
coh hewv
Uteceipt D Pay menb
the
Ors
lem e e
ci ea fen
The a s n Ctafn
Acvance tct th
undbi on oblgatfen
o Pry tax
Caes,s
Coctafn inall mens.
aducunt Tn

Se-aNeyment tae
The hau te Pay
aee
anenes
lng the
at the ttme
Cencl Sectfenl4DD s Sttl due onhe b a
Cunytay
etwun
1P cledluctYon e the ollOtpiba
Letunel în Come ajtor
e nder Sectton 89.
>Any oelfe
etax Do deductfon d tdx
A n y deef
On accourt
unclt SeoTon q0, q O 0 91
claim e Outside India
Outside India.
Paid Tn a counrtsy
tay
An t a deducesl O Collee teol a sow1
Peg Advanta tax
9)Ptoceclwte anol Schem TDS

undo the Scheme d deductTon adt Sowia

ay

Pouons s&sponvfbl o maPing Payy mend p Inorna

uspons fble Ho deluct
Coueed by the scheme au

oleposit the Same to the

the
and
tdy at sowte
fhin the Stipula-ted me,
toLawy u
10uwnment's he gels onluy
inCome thtough
The tec pient 1 Tab to tay
Dn the gos
the het amount at sowiCe
amount de ducteol
fhe
Cthmo unt and
his -ral tay lfabili4
adjuyted
againt

W h u the Payer alvtady bern allote

ha

beose D-00 4, he need hot apply

AN 0 TCAN
Thw1e i obtaen 1AN
no naud to
oo T DOAN Section tq4-1
be deducted un olw
fPthe t a has to
D 14 -1B
He Ts deluded tay aom the Tncome atneht
+he vattious sectfer
Sec>Bf6re
n
en-ttene d

>
Sepertade challan Should be ued to
sectfon
elepositax dedluc-ted under each
hodwe e Pament Coda în the
and
and the Co oLet be
Coumn î n t h e chalan 8 hould
evel cunt
Tnd fccel e
Tax Ts to be deduceted a t t h e bastc tte
vaofous ections.
unolun
us Ctbeel
Pay &hould be fssued Coctificate btase
Paye SowIce Dh DD b01e autai
deduc tiba at
Spect-ffed dale.
 TDS
eDeeoed s fmeme in
Delautt Sectibn 201(D
Whene an esen , Tneluding the Pofnopal
fce Bf a company
who is oeaforel to clodud any sum
TO a.CCobclanu uith the ?aoisfery 1 hik Act bs)
bs)

ReeUe to a gectfor 192CA) betng an

empleye
dou not desuct, o

desluctng - to Pay
a So

the
enalg able Seton 95l when
undeor
Pauyer TS an aMeser deemod Ho bse inTDS
deauult unde secfen ool

when 1S dleemed to be inv

an anessee
av, he shall,
default n mabing a Pctynmend Bf
amount a w a t s , be lfetble
to the
In add Hfon
Penalty t h e Amesng eic
Ho ayby o c
în the Couye b Cen-tinulng
o l a t t , and
may
may
3uchfuthdi
amoun Do cAmOuunt
delault, om ttme to tfme
c w mag
the
the Amying
AmATng the t amounb
the too tta
all a mouns
hout
thout
albecl So hbw e the amount e tau
not exCeed
e x Ceed
dhes
Phalty
n aUUOUL&
 BASIC coNCEPT OF TPS
Atms a deduction btat at the
L y S ouuLte Btin Come
A n Indioe dt method C o lectîng 4ax.
dc in Acluanc
Tt s to collect
Deduct? on bu the pe'sen mabYng 1aument
CudPtfng
Dedutien 8 TD D C eteð pecific
Pay ment
ndtww b
the amount
No deductfen 87De on
Bn b i a
indTsect ta ses tbe CT ehangrd
Utouwment by o v ieiors b chap ter
Act 196 Csecrtton 1 9 to
tctx
XV the Tn cerme
206 cc Pe dekucted
wnolur hich TD
DLHoeret Sectierm Salattes
TDS o n
Salfon t92 Yos ayH ng
Ahy
Any
DAMpenmYbe
Pusor
Ay
Any
undu
he heaol

nleme Choutgeable
ncome
deducfen
nthe Salary
TDS a nn
d
howse Pzopett
nn corne
Cenme a
empletee
he
pD-ted bbH tfhe empoge.
the emplotea
Totome
othuy
Compute
Fncome 9he emP Logee a/te
alouueng oullelgrbte
eemp-Tew e, eg
HRA EXCmp-ttbn
Standanol DeductFon
EremptFon bt othui allousance uhcloy
Sculay Inco nme
On houusing uoa
 Declu-tton uls S0c to goop
SetFon 94A TDS On Tn toest 0tho thcun
Sec L3B
Anu
HOF
Any Peuen not beng an indiviclual os
oho is pensi tL 40 a 6sident
Jos
ewt into me othen han fn-Leub oh Secuwities
foyPre
twunt on Fived depocts ILewrt oh loah
ocths
and Acu antos btho than baunbr Pcce -1O-

94C TDS on Payment to Cen tot ces ano

Su-Con-toact0oA
Any pouen enpern+Ll uos Paying any
Sum to
any uident Com-toae-tes os Carvyin
Out an
Out an coerb in wmuan B Lontoact
tho niolen
and
betun Peci-ffed poue
TDS.
Cortoaten AeotLLo e + de duct

Pate
1iReciptent s inciidual
2 Pectpiert is angothn
ec-ion 194T-TDe O pent
Sectten 4 - ecuSU a nem making
Paymene PentPentd '
suicdend
to pvusDh Ho
decluct ta ad SowiCe TDS
Dent means An Paymen uhdu any ltoe
Sul-ioe|teranay any Othe agreement
tahgement yor the we e any the
ollouhg
 Land, or balding, Pland, machmvy, -esutpmant
Kade: FOH u 8f Plant machintu-Dy.
10 7.
dwnidwre
-

Fos wse e dand 9 buidolihg bo

Sec-lionlau TDs en we o Paleuional Souie,

He chnfcal Swwice Poyalty eC.
Deduetoo a n Punen tuspenyible Jo aying Ho
a

Bollouung s
oatdent, ng Sum by oay
Qguutoed to deduet TDS, Rade lo/.
-

Sectfon t94TDS on Commi&ien ov buoupage

udll be oleductedt
TDS under Sectten 194 t
bParment
he tînne ouedit fComm tsston o

bDage to a Jusfdert
limit 15,000
Rate :5).

Seclfen-14 1A TDe on toanmfor os Cetah

mmors dbo 30pe-ty (othu thanagu Land
Deduco- An Powen C behg a stoan v )

Deduetes- Resfdenb
Ro-fe y. on the Pum c hase Vau atmmBod le
wpety
Limit 50,00,ooO
ectton ta5 TDe on Any Surm Paid to non rsTdent
Os a
ooeTgn Conmpan
DeductetAny pnu
peducde Nen Jusfdent 00 FOBg Comfanuy
Rocte At the ece în uoce.
 TD9 l be deducded on buîhod NDme
etablishment
Only, i dedudea has p1 manent
m Indra and Tnioroe attefbutabla to the
s
PE