Dear All,
I request your assistance in deciding whether we should deduct TDS from the stipend paid to the trainee who is pursuing studies and has come to our organization for summer training/project. If not, what should our explanation be when it comes to the accounting department and audit personnel?
This is urgent.
Regards,
Manasvi
From India, Bangalore
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2I request your assistance in deciding whether we should deduct TDS from the stipend paid to the trainee who is pursuing studies and has come to our organization for summer training/project. If not, what should our explanation be when it comes to the accounting department and audit personnel?
This is urgent.
Regards,
Manasvi
From India, Bangalore
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In my opinion, TDS shouldn't be deducted for the following reasons:
1. Summer trainees do not fall under an employee-employer relationship.
2. The stipend, unless it is exceptionally high, will not exceed the IT limit.
Regards,
Team GroupHR
Email: consult@grouphronline.com
From India, Delhi
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1. Summer trainees do not fall under an employee-employer relationship.
2. The stipend, unless it is exceptionally high, will not exceed the IT limit.
Regards,
Team GroupHR
Email: consult@grouphronline.com
From India, Delhi
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Hi Manaswi,
It is highly unlikely that the trainees would come under the income tax slabs. The very simple reason not to deduct TDS is: as the company is not paying enough annually for the employee to fall into this category. Hence, the company does not have the liability to file the TDS for this particular trainee.
Regards,
From India, Hyderabad
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It is highly unlikely that the trainees would come under the income tax slabs. The very simple reason not to deduct TDS is: as the company is not paying enough annually for the employee to fall into this category. Hence, the company does not have the liability to file the TDS for this particular trainee.
Regards,
From India, Hyderabad
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But finanace people are telling that 11.33% needs to deducted from his stipent of Rs. 15K pm. I would like to know what practice is being followed in your Co for such kind of cases.
From India, Bangalore
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From India, Bangalore
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Responsibilitie s of person who is responsible for deduction of TDS on salary.docx
Amendment in Section 192A of the IT Act, 1961- Instructions for deduction of TDS on withdrawal f.pdf