Can anyone help me how to calculate TDS and what is the criteria. Regards Shibin.
From India, Chennai
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From India, Chennai
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Please go to the following links to get a sample tax calculation sheet and discussions by members:
https://www.citehr.com/283855-tds-de...structure.html
https://www.citehr.com/253397-how-de...-earnings.html
https://www.citehr.com/30218-tds-cal...ncome-tax.html
What is TDS:
TDS, or "Tax Deduction at Source," is an indirect method of collecting tax from income sources. Income sources refer to earnings from several financial instruments and business transactions such as the sale of property, interest income from banks on savings, commissions and incentives, any kind of payment received for contracts and services, vendors, dividends, and awards or prizes earned in the form of money.
It is mandatory as per Indian Income Tax rules that companies, as well as working professionals who earn above the aforementioned sources, deduct TDS from the payments they make.
Not everyone can deduct TDS. To do so, one must have a 10-digit alphanumeric "Tax Deduction Account No (TAN)", which is required for all persons liable to deduct or collect tax at source.
There is no uniform rate for TDS deduction. Depending on the source of earnings, it can range from 1% for sale proceeds to 30%, as follows:
Particulars of Payments and Rate of Deduction:
01) 1% – TDS on Individual, HUF contractor, or sub-contractor
02) 2% – TDS on Other contractor, sub-contractor except individual and HUF
03) 2% – TDS on Rent on plant and building
04) 10% – TDS on Interest Income
05) 10% – TDS on Rent on land, building, and furniture
06) 10% – TDS on Insurance commission (for other assessee except company)
07) 10% – TDS on Insurance commission company
08) 10% – Commission and brokerage
09) 10% – TDS on professional and technical fees
10) 20%/30% – TDS on Payment to NRI
11) 30% – TDS on Winning from Lottery, crossword, puzzles
12) 30% – TDS on Winning from horse races
For more information, please visit and read the document at: http://incometaxindia.gov.in <link fixed>
To download ITR forms: Income Tax India
From India, Gurgaon
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672https://www.citehr.com/283855-tds-de...structure.html
https://www.citehr.com/253397-how-de...-earnings.html
https://www.citehr.com/30218-tds-cal...ncome-tax.html
What is TDS:
TDS, or "Tax Deduction at Source," is an indirect method of collecting tax from income sources. Income sources refer to earnings from several financial instruments and business transactions such as the sale of property, interest income from banks on savings, commissions and incentives, any kind of payment received for contracts and services, vendors, dividends, and awards or prizes earned in the form of money.
It is mandatory as per Indian Income Tax rules that companies, as well as working professionals who earn above the aforementioned sources, deduct TDS from the payments they make.
Not everyone can deduct TDS. To do so, one must have a 10-digit alphanumeric "Tax Deduction Account No (TAN)", which is required for all persons liable to deduct or collect tax at source.
There is no uniform rate for TDS deduction. Depending on the source of earnings, it can range from 1% for sale proceeds to 30%, as follows:
Particulars of Payments and Rate of Deduction:
01) 1% – TDS on Individual, HUF contractor, or sub-contractor
02) 2% – TDS on Other contractor, sub-contractor except individual and HUF
03) 2% – TDS on Rent on plant and building
04) 10% – TDS on Interest Income
05) 10% – TDS on Rent on land, building, and furniture
06) 10% – TDS on Insurance commission (for other assessee except company)
07) 10% – TDS on Insurance commission company
08) 10% – Commission and brokerage
09) 10% – TDS on professional and technical fees
10) 20%/30% – TDS on Payment to NRI
11) 30% – TDS on Winning from Lottery, crossword, puzzles
12) 30% – TDS on Winning from horse races
For more information, please visit and read the document at: http://incometaxindia.gov.in <link fixed>
To download ITR forms: Income Tax India
From India, Gurgaon
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Income tax Rules.xls
Circular No 1-2018 Processing of income-tax returns under section 143(1) of the Income-tax Act .pdf