No TDS on payment to Non resident Consultant!

Someone Asked on This blog
Is TDS applicable to foreign consultant who renders service outside India (namely in USA). Foreign consultant is US based and does not have PE in India. From: sundar.prakash@hotmail.com
Note : On account of an Explanation given under section 9 with effect from 1/6.1976 by Finanance Act 2007 , the answer is valid [...]

Agents of Non Resident exempt from obligation to file Returns electronically

The CBDT issued circular no 12/2006, Dated 27-11-2006 that for Agents of Non Resident , filing Return electronically is not mandatory . The relevant portion of circular is give below

“2. It has been brought to the notice of the Board that the agents of non-residents, within the meaning of section 160(1)(a) of the Income-tax Act, [...]

Confused over 194C and 194 I ?

Someone Asked on This blogWe have given contract for shifting of material in plant from one place to another by Loaders,Trucks, Dozzers,Dumpers, Tipller etc on rate contract basis i.e either Rs/per hour, Rs/per trip , or Rs./ per ton of material.The main condition in the contract are s follows1) It is clearly written in the [...]

Stipend may or may not be tax free.

Whether the stipend paid to trainee is taxable if taxable under which section or head of income… If exempted, section please…
….From: ramprasad_mba@…..com

Stipend [...]

Salary in Cash over Rs 20000 falls under Section 40A[3].

If a person is receiving a salary of around Rs 20,000 per month can he be paid in cash ? His TDS etc will be deducted as per the existing norms and will his employer face any problems if the person is paid fornightly, after the requisite TDS deductions, in Cash ? From: [...]

Even Autonomous bodies of States are subject to TDS!

Advanced Topic
Is Panchayat Udyog exempt from Income Tax, if yes on what grounds, If there is any section/direction/ notification, kindly give detail, TDS has been deducted wrongly by some dept. on furniture supplied by Panchayat Udyog which I think is exempt on mutual benefit concept. Total Turnover of P/U for the f/y 2005-2006 is 56.00 [...]

Enjoy The Gift! Gift Tax Act Is Dead Long Ago.

Does there arise a gift tax for A.Y-92-93,in respect of a quoted shares alloted to a major shareholder of a Ltd company ‘X’, by way of a family partition (where such shareholder is the member of the family that controls the closely held limited company ‘X’ )?
gspk@..mail.com

Gift Tax Act is abolished long ago. So [...]

TDS in Case of payments to Non Resdent Shipping Companies.

Someone Asked on this BlogA company imported scrap from USA and paid shipping charges to shipping companies (Indian and also foreign) Whether tax on shipping charges is required to be deducted and if so at what rates. [...]

No TDS on distribution of assets on liquidation

Someone Asked On This blog

A Pvt Ltd Company is under Liquidation and there is excess of assets over liabilities( due to accumulated Profits) which the liquidator wants to distribute among the shareholder. What are the implications with reference to Section 194 read with sec 2(22)(c) and also under sec 115-O Will both the sections [...]

Don’t Worry.Be Happy!You arn’t Scrutinized.

Someone Asked on This blog
For the assessment year 2005-2006, IT dept. asked me to furnish the Form-16 again. When I inquired in detail I found out that they are are looking at source of income for buying a house (that I registered in 2005)?They have not come back asking any more documents. What I want [...]

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