The Live Nagpur
  • Nagpur City
  • Nagpur Education
  • Nagpur Sports
  • Business
  • Crime
  • Entertainment & Lifestyle
  • Featured
  • Health & Wellness
  • Nation
  • Politics
  • Trending
  • Vidarbha
  • Obituary

The Live Nagpur

  • Home
  • Nagpur City
  • Politics
  • Business
  • Nagpur Education
  • Entertainment
  • Nagpur Sports
  • Health
  • Vidarbha
  • Crime
  • Obituary
Business

Provisions of Section 194A

by Abhijit Kelkar February 19, 2019February 19, 2019
written by Abhijit Kelkar February 19, 2019February 19, 2019
Provisions of Section 194A

1. What is Section 194A?

  • Section 194A deals with deduction of TDS on interest other than interest on securities like interest on fixed deposits, interest on loans and advances other than banks.
  • This Section is only applicable to a resident. Thus, the provisions of Section 194A are not applicable in case of payment of interest to a non-resident.
  • Payments made to non-residents are also covered under TDS mechanism. However, tax in such a case is to be deducted as per Section 195.

2. When does TDS under Section 194A need to be deducted?

 

The payer shall deduct TDS if the amount of such interest paid or credited or is likely to be paid or credited in a financial year, exceed Rs 40,000 where the payer is

  1. Banking company or any bank or a banking institution
  2. Co-operative society engaged in the business of banking
  3. Post office (on deposit under scheme framed and notified by Central Government).

and Rs 5,000 in any other case.

3. What is the rate of TDS?

Following are the applicable rates of taxes:

  • 10% when the PAN is furnished;
  • 20% if the PAN is not provided.
  • No surcharge, education cess or SHEC shall be added to the above rates. Hence, tax will be deducted at source at the basic rate.

4. What is the time limit for depositing the TDS?

  • Tax deducted during the month of April to February is to be deposited on or before the 7th of next month. tax deducted in the month of March is to be deposited on or before April 30.
  • For example, tax deducted on April 25 is to be deposited on or before May 7 and tax deducted on March 15 is to be deposited on or before April 30.
0 comment
FacebookTwitterLinkedin
Abhijit Kelkar

CA. Abhijit Kelkar B.Com, LL.b, FCA, DISA

previous post
Rajendra HS win Karnewar trophy
next post
Maha Metro’s Safety Park boosting safety culture

You may also like

MG Motor India and MG Nagpur Dealership donates...

March 2, 2021

VTA requests CBSE to hold exams online

March 2, 2021

Deepika Padukone now reigns Spices Category!

March 1, 2021

GST issues, malpractices, CAIT to begin nation-wide agitation...

March 1, 2021

Ranjit Singh new chairman of CII Vidarbha Zone

February 28, 2021

CAIT call Bharat Vyapar Bandh was successful- Bandh...

February 26, 2021

City traders give lukewarm response to CAIT’s ‘Bharat...

February 26, 2021

NVCC supports CAIT demands for Bharat Vyapar Bandh...

February 24, 2021

Bank account, properties to be seized for violation...

February 24, 2021

Institute of Chartered Accountants of India to set...

February 24, 2021

Leave a Comment Cancel Reply

Save my name, email, and website in this browser for the next time I comment.



Trending News

  • Yog Nritya spreading fitness in city gardens

    March 3, 2021
  • In10 Media Network’s New Hindi General Entertainment Channel ‘Ishara – Zindagi Ka Nazara’

    March 1, 2021
  • Sony launches digital voice recorder PCM-A10 for supreme sound, superior recording

    March 1, 2021
  • NSE triples its investment to INR 900 crores in technology infrastructure over last 3-4 years

    February 27, 2021
  • UltraTech’s Awarpur unit donates computers in Zilla Parishad schools

    February 27, 2021

Important Links

  • Politics
  • Crime
  • Business
  • Education
  • Entertainment
  • Sports

Available on Playstore & Coming Soon on Appstore

Search

February 2019
M T W T F S S
« Jan   Mar »
 123
45678910
11121314151617
18192021222324
25262728  

Sign-Up Form

Subscribe my Newsletter for new blog posts, tips & new photos. Let's stay updated!

Footer Logo
  • Nagpur City
  • Nagpur Education
  • Nagpur Sports
  • Business
  • Crime
  • Entertainment & Lifestyle
  • Featured
  • Health & Wellness
  • Nation
  • Politics
  • Trending
  • Vidarbha
  • Obituary
  • Privacy Policy
  • Disclaimer
  • Cookie Policy
  • Terms Of Use
  • Advertise with Us
  • Work with us
  • Contact Us

© 2020 - The Live Nagpur . All Rights Reserved.