Resident Tax deduction at source Sr No 1 2 3 4 5 6 7 8 9 10

Nature of Payment

Section 192 194A 194 B 194BB 194C 194D 194H 194I 194I 194J

Salary Interest other than Interest on securities Winning from lottery or cross word puzzle or card game or other game Winnings from horse race Payments to contractors Insurance Commission Commission or Brokerage Rent of Building , Land, Furniture Rent of Plant, Machinery or Equipment Fees for Professional & Technical Services / Royalty

Threshold of Deduction Till 30 June 2010 From 1 July 2010 Slab rates FB 2009 Slab rates FB 2010 Above Rs.5000/Above Rs.5000/Above Rs.2500/Above Rs.20000/-(contract)| Rs 50000/(aggregate) Above Rs.5000/Above Rs.2500/Above Rs.120000/Above Rs.120000/Above Rs.20000/Above Rs 10000/Above Rs.5000/Above Rs.30000/-(contract)| Rs 75000/- (aggregate) Above Rs 20000/Above Rs.5000/Above Rs.180000/Above Rs.180000/Above Rs.30000/-

Rate for Deduction Till 30 June 2010 From 1 July 2010 Slab rates FB 2009 Slab rates FB 2010 10% 30% 30% 2% (Contractors)| 1% ( Sub Contractors - Advertising Contractors) 10% 10% 10% 10% 10% 1%(Individuals) | 2(Companies & Firms)

Notes: 1. Time of deduction of tax: Except in case of salary (wherein tax is to be deducted at the time of payment), tax is to be deducted at the time of payment or credit, whichever is earlier. 2.Time of deposit of tax: In all other cases, except in case of salary, where amount is credited to the account of the payee as on the date up to which accounts of the payer are made, the tax is required to be deposited with the Government within 2 months from the month in which the income is credited. In all other cases, the tax is required to be deposited within 7 days from the end of the month in which deduction is made. 3. Person deducting the tax is required to file quarterly statements for the quarter ending on 30 June, 30 September, 31 December and 31 March in each financial year, in Form 26Q ( Form 24Q for Salary) along with Form 27A, on or before 15 July, 15 October, 15 January and 15 June respectively. 4. TDS certificate in Form 16A is required to be issued within 1 month from the end of the month during which the credit has been given or the sums have been paid (except in case of Insurance commission where Form 16A is to be issued by 30 April). However, if amount is credited by a person to the payee's account as on the date up to which accounts of such persons are made, then such certificate may be issued within a week after expiry of 2 months from the month in which the amount is credited. 5.TDS certificate in Form 16 (Form 16AA in case salary does not exceed Rs.1,50,000 before deductions under section 16) is required to be issued by 30 April. 6. Where more than 1 certificate is required to be furnished to a payee during the financial year and if the payee desires, a consolidated certificate covering all the deductions during the financial year can be issued within 1 month from the close of that financial year. 7.In case the payee is not able to furnish the PAN to the payer, tax shall be deducted @20%. w.e.f. 1 April 2010. 8.Under section 194A, the threshold limit is Rs. 10,000 where the payer is a banking company or a co-operative society engaged in banking business, or in case of deposits with post office under a scheme notified by Central Government. Further, tax is not to be deducted if the payee furnishes to the payer a declaration in writing in duplicate in Form No.15G or 15H, as the case may be. 9.In the case of an individual or HUF or AOP or BOI, who are liable to tax audit under section 44AB during the financial year immediately preceding the financial year in which sum is credited or paid, shall be liable to deduct tax under section 194A, 194C, 194H, 194I and 194J, as the case may be. 10.Above rates are not applicable in case of payments made to foreign companies and non-residents.

Trinity Automations Your partner for all accounting and tax solutions