Section 194A

Section 194A TDS on Interest to NBFCs: Compliance and Challenges

Income Tax - Unravel the complexities of Section 194A TDS on interest payments to Non-Banking Financial Companies (NBFCs). Explore the legal obligations, consequences of non-compliance, and the 10% tax deduction requirement....

TDS Rate Chart for FY 2023-24 / AY 2024-25 – Updated

Income Tax - Updated TDS Rate Chart for FY 2023-24 (AY 2024-25). Find the latest rates for tax deduction at source for various transactions. Easy-to-understand guide....

Important provisions of Tax Deducted at Source

Income Tax - Gain a comprehensive understanding of Tax Deducted At Source (TDS) provisions under the Income Tax Act, 1961. Explore key sections such as 192, 193, 194, and 195, which cover various payment scenarios where tax deduction is required. Learn about TDS rates, thresholds, and implications for different types of income....

Section 194A: TDS on interest other than interest on securities

Income Tax - Unlock the intricacies of Income Tax Section 194A: TDS on interest payments beyond specified thresholds, excluding interest on securities. Learn about the applicability, rates, and compliance under this section. Dive into detailed insights on interest from fixed deposits, bonds, unsecured loans, loans and advances, and payments to Non-Ban...

TDS Rate Chart for FY 2023-2024 (AY 2024-2025)

Income Tax - TDS Rate Chart for FY 2023-2024 (AY 2024-2025) – Get complete details on Budget 2023 Amendments, Nature of Payment & Threshold Limits. Tax Deduction at Source (TDS) now at 3 crore limit for co-operative societies....

TDS threshold on interest on bank/post office deposits increased

Income Tax - TDS THRESHHOLD INCREASED While presenting interim Budget 2019-20 FM has raised TDS threshold on interest earned on bank/post office deposits. In Tax Deduction at Source (TDS) threshold on interest earned on bank/post office deposits has been proposed to be raised from Rs.10,000 to Rs.40,000. Shri Goyal said, “This will benefit small dep...

Applicability of TDS provisions requires clear identification of payees

ACIT (TDS) Vs Artemis Medicares Services Ltd (ITAT Delhi) - Delhi ITAT's ruling in the case of ACIT vs Artemis Medicares Services Ltd highlights the implications of voluntary disallowance of expenses under section 40(A)(ia) and its impact on the taxpayer's default status under section 201(1)....

No disallowance under Section 40(a)(ia) if payee has already paid taxes: ITAT Jaipur

Raj Auto Wheels (P) Ltd Vs JCIT (ITAT Jaipur) - The issue involved the contention that disallowance under Section 40(a)(ia) should not be made if the payee has already paid taxes. Noteworthy payees included public limited companies such as Maruti Udhyog Ltd., and Non-Banking Finance Corporations like Sundaram Finance, AU Finance, and Mahindra & M...

Kerala HC directs NFAC to expedite decision on stay application 

Chalakkal Antony Jose Valloor Vs ACIT (Kerala high Court) - Kerala High Court instructs prompt consideration of stay application in tax dispute involving non-filing of income return under Section 139 of Income Tax Act....

Circulars mandating compliance of section 194A & 194N by co-op societies cannot be challenged under Article 226

Chennimalai Siragiri Murugan Primary Handloom Weaver's Cooperative Society Ltd. Vs ITO (Madras High Court) - Madras High Court held that circulars dated 16.03.2021, 05.08.2021 and 01.04.2021 mandating compliance of provisions of section 194A and 194N of the Income Tax Act by co-operative societies cannot be challenged under Article 226 of the Constitution of India....

Reopening beyond 4 years without any failure in disclosing material facts unsustainable

DCIT Vs Santha Build Tech India Pvt. Ltd. (ITAT Chennai) - ITAT Chennai held that reopening after expiry of 4 years, without establishing any failure on part of the assessee to disclose any material facts necessary for its assessment, is bad-in-law and liable to be quashed....

No section 194A TDS on interest from Mahila Samman Savings Certificate

Notification No. 27/2023-Income Tax [S.O. 2189(E).] - (16/05/2023) - No section 194A TDS on interest from Mahila Samman Savings Certificate – Notification No. 27/2023-Income Tax | Dated: 16th May, 2023 Introduction: The Mahila Samman Savings Certificate is a financial instrument that aims to empower and provide financial security to women in India. This gover...

No Section 194A TDS on Interest payment to Scheduled Tribe by Scheduled Bank

Notification No. 110/2021-Income Tax [S.O. 3815(E)] | Press Release ID: 1755937 - (17/09/2021) - CBDT notifies that no Section 194A TDS will be deducted by ‘Scheduled Bank on payment of interest, other than interest on securities to Scheduled Tribe residing in any specified area, and the payment as referred above is accruing or arising to the receiver as referred to in section 10(26) if the p...

TDS on interest on Post Office Saving Schemes reduced

S.B. Order 23/2020 - (26/06/2020) - In order to provide more funds at the disposal of the taxpayers for dealing with the economic situation arising out of COVID-19 pandemic. the rates of Tax Deduction at Source (TDS) for the following non-salaried specified payments made to residents has been reduced by 25% for the period from 14th Ma...

No TDS on Interest to Senior Citizen if not exceeds Rs. Fifty Thousand

Notification No. 06/2018-DGIT - (06/12/2018) - Income-tax Act provides that no tax deduction at source under section 194A shall be made in the case of Senior Citizens where the amount of such income or, the aggregate of the amounts of such income credited or paid during the financial year does not exceed fifty thousand rupees....

TDS U/s. 194A of the Act on interest on fixed deposit made on direction of Courts-regd

Circular No. 23/2015-Income Tax - (28/12/2015) - Circular No. 23/2015 Section 194A of Income Tax Act, 1961 stipulates deductions of tax at source (TDS) on interest other than interest on securities if the aggregate of amount of such interest credited or paid to the account of the payee during the financial year exceeds the specified amount ....

Section 194A’s Popular Posts

Recent Posts in "Section 194A"

Applicability of TDS provisions requires clear identification of payees

ACIT (TDS) Vs Artemis Medicares Services Ltd (ITAT Delhi)

Delhi ITAT's ruling in the case of ACIT vs Artemis Medicares Services Ltd highlights the implications of voluntary disallowance of expenses under section 40(A)(ia) and its impact on the taxpayer's default status under section 201(1)....

No disallowance under Section 40(a)(ia) if payee has already paid taxes: ITAT Jaipur

Raj Auto Wheels (P) Ltd Vs JCIT (ITAT Jaipur)

The issue involved the contention that disallowance under Section 40(a)(ia) should not be made if the payee has already paid taxes. Noteworthy payees included public limited companies such as Maruti Udhyog Ltd., and Non-Banking Finance Corporations like Sundaram Finance, AU Finance, and Mahindra & Mahindra Finance....

Kerala HC directs NFAC to expedite decision on stay application 

Chalakkal Antony Jose Valloor Vs ACIT (Kerala high Court)

Kerala High Court instructs prompt consideration of stay application in tax dispute involving non-filing of income return under Section 139 of Income Tax Act....

Circulars mandating compliance of section 194A & 194N by co-op societies cannot be challenged under Article 226

Chennimalai Siragiri Murugan Primary Handloom Weaver's Cooperative Society Ltd. Vs ITO (Madras High Court)

Madras High Court held that circulars dated 16.03.2021, 05.08.2021 and 01.04.2021 mandating compliance of provisions of section 194A and 194N of the Income Tax Act by co-operative societies cannot be challenged under Article 226 of the Constitution of India....

Reopening beyond 4 years without any failure in disclosing material facts unsustainable

DCIT Vs Santha Build Tech India Pvt. Ltd. (ITAT Chennai)

ITAT Chennai held that reopening after expiry of 4 years, without establishing any failure on part of the assessee to disclose any material facts necessary for its assessment, is bad-in-law and liable to be quashed....

Interest on amount advanced to sister concern cannot be disallowed

Trimex Industries Pvt Ltd Vs ACIT (ITAT Chennai)

ITAT Chennai held that disallowing the interest to the extent of amount advanced to its sister concern unsustainable as subsidiaries are engaged in the business as that of the assessee and it is called the expansion of business....

Compensation/Damages Payment by Builder/Developer is not Interest for TDS

Sawhney Builders Pvt. Ltd. Vs ACIT (ITAT Delhi)

ITAT Delhi rules that payments by a builder to allottees as compensation for delays are not interest under the Income Tax Act, relieving them from TDS obligations....

Invocation of section 263 unjustified as order passed after considering information

APM Industries Ltd. Vs DCIT (ITAT Jaipur)

ITAT Jaipur held that the assessment order passed by AO after considering the information filed during assessment proceedings cannot be said to be erroneous and prejudicial to the interest of the revenue. Every loss of revenue as a consequence of an order of the AO cannot be treated as prejudicial to the interests of the Revenue....

No tax is payable on interest accrued as fixed deposit is under prohibitory order

Bellary Iron-Ores Pvt. Ltd Vs ITO (ITAT Bangalore)

ITAT Bangalore held that as assessee has no right to receive the interest accrued on Fixed Deposits due to prohibitory order, the same is not taxable....

TDS on interest to members on deposits by co-operative society not deductible

Raddi Sahakara Bank Niyamitha Vs ACIT (ITAT Bangalore)

ITAT Bangalore held that cooperative societies carrying on banking business when it pays interest to its members on deposits need not deduct tax at source in view of the provisions of Sec.194A(3)(v) of the Act....

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