{"id":6264,"date":"2020-07-18T13:42:44","date_gmt":"2020-07-18T08:12:44","guid":{"rendered":"https:\/\/carajput.com\/blog\/?p=6264"},"modified":"2021-10-03T12:11:32","modified_gmt":"2021-10-03T06:41:32","slug":"new-turnover-threshold-for-the-purposes-of-tds-applicability","status":"publish","type":"post","link":"https:\/\/carajput.com\/blog\/new-turnover-threshold-for-the-purposes-of-tds-applicability\/","title":{"rendered":"New Turnover Threshold for the Purpose of TDS Applicability"},"content":{"rendered":"<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_58 counter-hierarchy ez-toc-counter ez-toc-light-blue ez-toc-container-direction\">\n<p class=\"ez-toc-title\">Page Contents<\/p>\n<label for=\"ez-toc-cssicon-toggle-item-69d57d7c4adf9\" class=\"ez-toc-cssicon-toggle-label\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #000000;color:#000000\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #000000;color:#000000\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/label><input type=\"checkbox\"  id=\"ez-toc-cssicon-toggle-item-69d57d7c4adf9\"  aria-label=\"Toggle\" \/><nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/carajput.com\/blog\/new-turnover-threshold-for-the-purposes-of-tds-applicability\/#New_Turnover_Threshold_for_the_Purposes_of_Tax_deducted_at_Source_TDS_Applicability_as_per_the_Finance_Act_2020\" title=\"New Turnover Threshold for the Purposes of Tax deducted at Source (TDS) Applicability as per the Finance Act 2020.\">New Turnover Threshold for the Purposes of Tax deducted at Source (TDS) Applicability as per the Finance Act 2020.<\/a><ul class='ez-toc-list-level-3'><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/carajput.com\/blog\/new-turnover-threshold-for-the-purposes-of-tds-applicability\/#New_List_of_Announcement_made_under_Direct_Tax_made_by_the_Minister_of_Finance_Smt_N_Sitharaman\" title=\"New List of Announcement made under Direct Tax made by the Minister of Finance Smt. N. Sitharaman\">New List of Announcement made under Direct Tax made by the Minister of Finance Smt. N. Sitharaman<\/a><ul class='ez-toc-list-level-4'><li class='ez-toc-heading-level-4'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/carajput.com\/blog\/new-turnover-threshold-for-the-purposes-of-tds-applicability\/#List_of_notified_new_rate_and_announcement\" title=\"List of notified new rate and announcement\u00a0\">List of notified new rate and announcement\u00a0<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-4'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"https:\/\/carajput.com\/blog\/new-turnover-threshold-for-the-purposes-of-tds-applicability\/#Rates_of_TDS_FY_2020-21\" title=\"Rates of TDS FY 2020-21\">Rates of TDS FY 2020-21<\/a><\/li><\/ul><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-5\" href=\"https:\/\/carajput.com\/blog\/new-turnover-threshold-for-the-purposes-of-tds-applicability\/#Interest_in_delayed_payment_and_late_deduction_of_TDS\" title=\"Interest in delayed payment and late deduction of TDS:\">Interest in delayed payment and late deduction of TDS:<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-6\" href=\"https:\/\/carajput.com\/blog\/new-turnover-threshold-for-the-purposes-of-tds-applicability\/#Profit_in_late_payment_of_TDS_amendments_made_pursuant_to_the_Taxes_and_Other_Laws_Relaxation_of_Other_Provisions_Order_2020_of_24_March_2020\" title=\"Profit in late payment of TDS: amendments made pursuant to the Taxes and Other Laws (Relaxation of Other Provisions) Order 2020 of 24 March 2020:\">Profit in late payment of TDS: amendments made pursuant to the Taxes and Other Laws (Relaxation of Other Provisions) Order 2020 of 24 March 2020:<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-7\" href=\"https:\/\/carajput.com\/blog\/new-turnover-threshold-for-the-purposes-of-tds-applicability\/#Default_fees_for_the_TDS_TCS_return_file\" title=\"Default fees for the TDS \/ TCS return file:\">Default fees for the TDS \/ TCS return file:<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-8\" href=\"https:\/\/carajput.com\/blog\/new-turnover-threshold-for-the-purposes-of-tds-applicability\/#New_Section_206AB_and_Section_206CCA_ITR_Return_filing_Higher_rates_TDSTCS_on_non_filed_the_ITR_on_time\" title=\"New Section 206AB and Section 206CCA: ITR Return filing: Higher rates TDS\/TCS on non filed the ITR on time.\">New Section 206AB and Section 206CCA: ITR Return filing: Higher rates TDS\/TCS on non filed the ITR on time.<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-9\" href=\"https:\/\/carajput.com\/blog\/new-turnover-threshold-for-the-purposes-of-tds-applicability\/#Purpose_of_Section_206CCA_Section_206AB_increase_in_compliance_burden\" title=\"Purpose of (Section 206CCA &amp; Section 206AB) increase in compliance burden\">Purpose of (Section 206CCA &amp; Section 206AB) increase in compliance burden<\/a><\/li><\/ul><\/li><\/ul><\/nav><\/div>\n<h2><a style=\"font-size: 16px;\" href=\"https:\/\/carajput.com\/blog\/wp-content\/uploads\/2020\/07\/tds-income-tax.jpg\"><img loading=\"lazy\" decoding=\"async\" class=\" wp-image-6522\" src=\"https:\/\/carajput.com\/blog\/wp-content\/uploads\/2020\/07\/tds-income-tax.jpg\" alt=\"www.carajput.com;Income TAX and TDS Update\" width=\"824\" height=\"433\" srcset=\"https:\/\/carajput.com\/blog\/wp-content\/uploads\/2020\/07\/tds-income-tax.jpg 310w, https:\/\/carajput.com\/blog\/wp-content\/uploads\/2020\/07\/tds-income-tax-300x158.jpg 300w\" sizes=\"(max-width: 824px) 100vw, 824px\" \/><\/a><\/h2>\n<p>&nbsp;<\/p>\n<h2><span class=\"ez-toc-section\" id=\"New_Turnover_Threshold_for_the_Purposes_of_Tax_deducted_at_Source_TDS_Applicability_as_per_the_Finance_Act_2020\"><\/span><span style=\"color: #000080;\"><strong>New Turnover Threshold for the Purposes of <a style=\"color: #000080;\" href=\"https:\/\/carajput.com\/tds.php\">Tax deducted at Source (TDS)<\/a> Applicability as per the Finance Act 2020.<\/strong><\/span><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<ul>\n<li>TDS was applicable to individuals and to<a href=\"https:\/\/carajput.com\/blog\/tag\/hindu-undivided-family-huf\/\"> HUF<\/a> if their accounts were subject to audit in Section 44AB of the preceding year.<\/li>\n<li>The Finance Act 2020 specifies that All individuals &amp; HUF will be liable to deduct TDS if the revenue exceeds Rs. 1 Crore in the case of corporation and Rs. 50 Lakhs in the case of the profession in the previous year. Such revisions shall take effect from 1 April 2020.<\/li>\n<\/ul>\n<p style=\"padding-left: 80px;\">Also Read :\u00a0<a href=\"https:\/\/carajput.com\/blog\/different-meaning-of-turnover-in-income-tax-act-companies-act-gst\/\">Different meanings of turnover<\/a><\/p>\n<ul>\n<li>Below is the <a href=\"https:\/\/carajput.com\/tds.php\">TDS<\/a> average for the year 2020-21. In the following table valid from 14th May 2020<\/li>\n<\/ul>\n<p style=\"padding-left: 80px;\">o\u00a0\u00a0 Individuals include the individual and HUF<\/p>\n<p style=\"padding-left: 80px;\">o\u00a0\u00a0 Company and others include Company, Company, LLP, Co-op Society, Local Authority.<\/p>\n<h3><span class=\"ez-toc-section\" id=\"New_List_of_Announcement_made_under_Direct_Tax_made_by_the_Minister_of_Finance_Smt_N_Sitharaman\"><\/span><span style=\"color: #000080;\">New List of Announcement made under Direct Tax made by the Minister of Finance Smt. N. Sitharaman<\/span><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<ul>\n<li>Minister of Finance, Smt. N. Sitharaman conducted a media briefing on 13 May 2020 to make arrangements for the Rs 20 Lakh Crore Economy Plan launched by the P.M Sh. N. Modi.<\/li>\n<li>The FM issued a number of packages for the Micro, Small, and Medium Enterprises Sector to provide a little relief under the COVID-19 disease outbreak.<\/li>\n<li>A variety of steps have been declared by the FM, including collateral-free automatic lending, updated description of MSME, etc.<\/li>\n<\/ul>\n<h4><span class=\"ez-toc-section\" id=\"List_of_notified_new_rate_and_announcement\"><\/span><span style=\"color: #000080;\">List of notified new rate and announcement\u00a0<\/span><span class=\"ez-toc-section-end\"><\/span><\/h4>\n<p>The Minister of Finance has outlined a series of relief measures under the Income Tax Act, which are set out below:<\/p>\n<p>(a) The TDS\/TCS rates for defined payments\/receipts shall be decreased by 25%. This reduction in the rate shall be applicable for tax deducted or assessed between 14-05-2020 and 31-03-2021.<\/p>\n<ul>\n<li>This provision shall not be made applicable to a salaried and non-resident taxpayer. The TDS and TCS preliminary rates are shown in the chart following.<\/li>\n<\/ul>\n<p>(b) All unpaid refunds to nonprofit organizations and non-corporate companies and occupations shall be issued shortly.<\/p>\n<p>(c) The due date of all revenue-tax returns for the financial year 2019-20 will be increased from 31 July 2020 and 31 October 2020 to 30 November 2020.<\/p>\n<p>(d) The deadline date for the tax audit referred to in Section 44AB shall be increased from 30 September 2020 to 31 October 2020.<\/p>\n<p>(e) The final date of selecting for the Vivad se Vishwas scheme without paying an extra 10%\u00a0 of the tax at issue shall be expanded until 31 December 2020.<\/p>\n<p>(f) The deadline of 30-09-2020 for completion of the evaluations shall be extended to 31- 12-2020. If the evaluation is blocked on 31-03-2021, it shall be extended to 30-09-2021.<\/p>\n<ul>\n<li>By lowering the rate of <a href=\"https:\/\/carajput.com\/blog\/tag\/tds-tcs-changes-to-covid19\/\">TDS\/TCS<\/a>, the Government. It allows taxpayers to have much more money in their hands. In this tough moment, this declaration would help self-employed employees, professionals and senior citizens receiving interest income or rental income.<\/li>\n<li>It does not offer any comfort to employees. But it should be remembered that the relaxation of the TDS\/TCS rate would have no effect on the final tax liability of the taxpayer. As a result, any shortfall in tax liability due to a decreased rate of TDS\/TCS should be payable by advance tax installment payments.<\/li>\n<li>Any deficit in the deposit of advance tax would draw interest under Sections <a href=\"https:\/\/carajput.com\/blog\/tag\/tds-tcs-changes-to-covid19\/\">234B and 234C.<\/a> The first payment of the advance tax is due on 15 June 2020.<\/li>\n<li>A taxpayer can recalculate his advance tax obligation to be deposited next month in order to postpone any charge of interest.<\/li>\n<\/ul>\n<h4><span class=\"ez-toc-section\" id=\"Rates_of_TDS_FY_2020-21\"><\/span><span style=\"color: #000080;\">Rates of TDS FY 2020-21<\/span><span class=\"ez-toc-section-end\"><\/span><\/h4>\n<p><a href=\"https:\/\/carajput.com\/blog\/wp-content\/uploads\/2020\/07\/TDS-rate.jpg\"><img loading=\"lazy\" decoding=\"async\" class=\"alignnone wp-image-10309\" src=\"https:\/\/carajput.com\/blog\/wp-content\/uploads\/2020\/07\/TDS-rate.jpg\" alt=\"\" width=\"829\" height=\"381\" \/><\/a><\/p>\n<table style=\"height: 1529px;\" width=\"816\">\n<tbody>\n<tr>\n<td rowspan=\"2\" width=\"85\"><strong>\u00a0<\/strong><\/p>\n<p><span style=\"color: #000080;\"><em>Section<\/em><\/span><\/td>\n<td rowspan=\"2\" width=\"141\"><span style=\"color: #000080;\"><strong>\u00a0<\/strong><\/span><\/p>\n<p><span style=\"color: #000080;\"><em>Nature of Income<\/em><\/span><\/td>\n<td colspan=\"2\" width=\"319\"><span style=\"color: #000080;\"><strong><em>Rate of TDS applicable for the period<\/em><\/strong><\/span><\/td>\n<td rowspan=\"2\" width=\"94\"><span style=\"color: #000080;\"><em>Threshold<\/em><\/span><\/p>\n<p><span style=\"color: #000080;\"><em>Limit for deduction tax<\/em><\/span><\/td>\n<\/tr>\n<tr>\n<td width=\"175\"><span style=\"color: #000080;\"><em>01-04-2020 to 13-05-2020<\/em><\/span><\/td>\n<td width=\"144\"><span style=\"color: #000080;\"><em>14-05-2020 to 31-03-<\/em><em>2021<\/em><\/span><\/td>\n<\/tr>\n<tr>\n<td width=\"85\">193<\/td>\n<td width=\"141\">Interest on Securities<\/td>\n<td width=\"175\">10%<\/td>\n<td width=\"144\">7.50%<\/td>\n<td width=\"94\">&#8211;<\/td>\n<\/tr>\n<tr>\n<td width=\"85\">194<\/td>\n<td width=\"141\">Dividend<\/td>\n<td width=\"175\">10%<\/td>\n<td width=\"144\">7.50%<\/td>\n<td width=\"94\">Rs. 5,000 in<\/p>\n<p>case of Individual<\/td>\n<\/tr>\n<tr>\n<td width=\"85\">194A<\/td>\n<td width=\"141\">Interest other than interest on Securities<\/td>\n<td width=\"175\">10%<\/td>\n<td width=\"144\">7.50%<\/td>\n<td width=\"94\">Rs. 5,000 to<\/p>\n<p>Rs. 50,000<\/td>\n<\/tr>\n<tr>\n<td width=\"85\">194C<\/td>\n<td width=\"141\">Payment to Contractors<\/td>\n<td width=\"175\">&#8211;\u00a0\u00a0 1%: If deductee is an individual or HUF<\/p>\n<p>&#8211;\u00a0\u00a0 2%: In any other case<\/td>\n<td width=\"144\">&#8211;\u00a0\u00a0 0.75%: If deductee is an individual or HUF<\/p>\n<p>&#8211;\u00a0\u00a0 1.50%: In any other case<\/td>\n<td width=\"94\">&#8211;\u00a0\u00a0 Single payment : Rs. 30,000<\/p>\n<p>&#8211;\u00a0\u00a0 Aggregate<\/p>\n<p>payment: Rs. 100,000<\/td>\n<\/tr>\n<tr>\n<td width=\"85\">194D<\/td>\n<td width=\"141\">Insurance Commission<\/td>\n<td width=\"175\">&#8211;\u00a0\u00a0 10%: If deductee is domestic Company<\/p>\n<p>&#8211;\u00a0\u00a0 5%: In any other case<\/td>\n<td width=\"144\">&#8211;\u00a0\u00a0 7.50%: If deductee is domestic Company<\/p>\n<p>&#8211;\u00a0\u00a0 3.75%: In any other<\/p>\n<p>case<\/td>\n<td width=\"94\">15,000<\/td>\n<\/tr>\n<tr>\n<td width=\"85\">194G<\/td>\n<td width=\"141\">Commission and other payments on sale of lottery<\/p>\n<p>tickets<\/td>\n<td width=\"175\">5%<\/td>\n<td width=\"144\">3.75%<\/td>\n<td width=\"94\">15,000<\/td>\n<\/tr>\n<tr>\n<td width=\"85\">194H<\/td>\n<td width=\"141\">Commission and<\/p>\n<p>Brokerage<\/td>\n<td width=\"175\">5%<\/td>\n<td width=\"144\">3.75%<\/td>\n<td width=\"94\">15,000<\/td>\n<\/tr>\n<tr>\n<td width=\"85\">194-I<\/td>\n<td width=\"141\">Rent<\/td>\n<td width=\"175\">&#8211;\u00a0 10%: If rent pertains to hiring of immovable property<\/p>\n<p>&#8211;\u00a0 2%: If rent pertains to hiring of plant and machinery<\/td>\n<td width=\"144\">&#8211;\u00a0 7.50%: If rent pertains to hiring of immovable property<\/p>\n<p>&#8211;\u00a0 1.50%: If rent pertains to hiring of plant and<\/p>\n<p>machinery<\/td>\n<td width=\"94\">2,40,000<\/td>\n<\/tr>\n<tr>\n<td width=\"85\">194-IB<\/td>\n<td width=\"141\">Payment of Rent by Certain Individuals or<\/p>\n<p>HUF<\/td>\n<td width=\"175\"><strong>\u00a0<\/strong><\/p>\n<p>5%<\/td>\n<td width=\"144\"><strong>\u00a0<\/strong><\/p>\n<p>3.75%<\/td>\n<td width=\"94\">50,000<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<p>&nbsp;<\/p>\n<table style=\"height: 1420px;\" width=\"830\">\n<tbody>\n<tr>\n<td width=\"85\">194J<\/td>\n<td width=\"141\">Royalty and Fees for Professional or Technical Services<\/td>\n<td width=\"175\">&#8211;\u00a0 2%: If royalty is payable towards sale, distribution, or exhibition of cinematographic films<\/p>\n<p>&#8211;\u00a0 2%: If the recipient is engaged in business of operation of call Centre<\/p>\n<p>&#8211;\u00a0 2%: If sum is payable towards fees for technical services (other than professional services)<\/p>\n<p>&#8211;\u00a0 10%: In all other cases<\/td>\n<td width=\"144\">&#8211;\u00a0 1.50%: If royalty is payable towards sale, distribution, or exhibition of cinematographic films<\/p>\n<p>&#8211;\u00a0 1.50%: If the recipient is engaged in business of operation of call Centre<\/p>\n<p>&#8211;\u00a0 1.50%: If sum is payable towards fees for technical services (other than professional services)<\/p>\n<p>&#8211;\u00a0 7.50%: In all other<\/p>\n<p>cases<\/td>\n<td width=\"94\">&#8211;\u00a0 Director&#8217;s fees: Nil<\/p>\n<p>&#8211;\u00a0 Others: Rs. 30,000<\/td>\n<\/tr>\n<tr>\n<td width=\"85\">194M<\/td>\n<td width=\"141\">Payment to contractor, commission agent, broker or professional by certain Individuals<\/p>\n<p>or HUF<\/td>\n<td width=\"175\">5%<\/td>\n<td width=\"144\">3.75%<\/td>\n<td width=\"94\">50 lakhs<\/td>\n<\/tr>\n<tr>\n<td width=\"85\">194N<\/td>\n<td width=\"141\">Cash withdrawal<\/td>\n<td width=\"175\">&#8211;\u00a0 2%: In general if cash withdrawn exceeds Rs. 1 crore<\/p>\n<p>&#8211;\u00a0 2%: If the assessee has not furnished return for the last 3 assessment years and cash withdrawn exceeds Rs. 20 lakhs but does not exceed Rs. 1 crore<\/p>\n<p>&#8211;\u00a0 5%: If the assessee has not furnished return for last 3 assessment years and cash withdrawn exceeds Rs. 1 crore<\/td>\n<td width=\"144\">&#8211;\u00a0 1.50%: In general if cash withdrawn exceeds Rs. 1 crore<\/p>\n<p>&#8211;\u00a0 1.50%: If the assessee has not furnished return for the last 3 assessment years and cash withdrawn exceeds Rs. 20 lakhs but does not exceed Rs. 1 crore<\/p>\n<p>&#8211;\u00a0 3.75%: If the assessee has not furnished return for last 3 assessment years and cash is withdrawn exceeds Rs. 1<\/p>\n<p>crore<\/td>\n<td width=\"94\">&#8211;\u00a0 If a person defaults in the filing of return: 20 lakhs<\/p>\n<p>&#8211;\u00a0 If no default is made in the filing of return: Rs 1 crore<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<p><strong style=\"color: #000080;\">Tentative rates of TCS<\/strong><\/p>\n<table style=\"height: 1308px;\" width=\"824\">\n<tbody>\n<tr>\n<td rowspan=\"2\" width=\"143\"><em>Section<\/em><\/td>\n<td rowspan=\"2\" width=\"197\"><em>GST liable to TCS<\/em><\/td>\n<td colspan=\"2\" width=\"290\"><strong><em>Rate of TDS applicable for the period<\/em><\/strong><\/td>\n<\/tr>\n<tr>\n<td width=\"154\"><em>14-05-2020 to 31-03-<\/em><\/p>\n<p><em>2021<\/em><\/td>\n<td width=\"135\"><em>14-05-2020 &#8211; 31-03-<\/em><\/p>\n<p><em>2021<\/em><\/td>\n<\/tr>\n<tr>\n<td width=\"143\">Section 206C(1)<\/td>\n<td width=\"197\">Alcoholic liquor for human<\/p>\n<p>consumption<\/td>\n<td width=\"154\">1%<\/td>\n<td width=\"135\">0.75%<\/td>\n<\/tr>\n<tr>\n<td width=\"143\">Section 206C(1)<\/td>\n<td width=\"197\">&#8211;\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0 Timber obtained under Forest lease<\/p>\n<p>&#8211;\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0 Timber obtained by any mode other than under a forest lease<\/p>\n<p>&#8211;\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0 Any other forest produce not being timber or tendu<\/p>\n<p>leaves<\/td>\n<td width=\"154\">2.50%<\/td>\n<td width=\"135\">1.875%<\/td>\n<\/tr>\n<tr>\n<td width=\"143\">Section 206C(1)<\/td>\n<td width=\"197\">Tendu leaves<\/td>\n<td width=\"154\">5%<\/td>\n<td width=\"135\">3.75%<\/td>\n<\/tr>\n<tr>\n<td width=\"143\">Section 206C(1)<\/td>\n<td width=\"197\">Minerals, being coal or ignite or iron ore<\/td>\n<td width=\"154\">1%<\/td>\n<td width=\"135\">0.75%<\/td>\n<\/tr>\n<tr>\n<td width=\"143\">Section 206C(1)<\/td>\n<td width=\"197\">Scrap<\/td>\n<td width=\"154\">1%<\/td>\n<td width=\"135\">0.75%<\/td>\n<\/tr>\n<tr>\n<td width=\"143\">Section 206C(1C)<\/td>\n<td width=\"197\">Parking Lot<\/td>\n<td width=\"154\">2%<\/td>\n<td width=\"135\">1.50%<\/td>\n<\/tr>\n<tr>\n<td width=\"143\">Section 206C(1C)<\/td>\n<td width=\"197\">Toll Plaza<\/td>\n<td width=\"154\">2%<\/td>\n<td width=\"135\">1.50%<\/td>\n<\/tr>\n<tr>\n<td width=\"143\">Section 206C(1C)<\/td>\n<td width=\"197\">Mining &amp; quarrying<\/td>\n<td width=\"154\">2%<\/td>\n<td width=\"135\">1.50%<\/td>\n<\/tr>\n<tr>\n<td width=\"143\">Section 206C(1F)<\/td>\n<td width=\"197\">Motor Car<\/td>\n<td width=\"154\">1%<\/td>\n<td width=\"135\">0.75%<\/td>\n<\/tr>\n<tr>\n<td width=\"143\">Section 206C(1G)<\/td>\n<td width=\"197\">Overseas tour travel package<\/td>\n<td width=\"154\">5%<\/td>\n<td width=\"135\">3.75%<\/td>\n<\/tr>\n<tr>\n<td width=\"143\">Section 206C(1G)<\/td>\n<td width=\"197\">Remittance of Forex under LRS of Rs. 7 lakh or more in a financial year<\/td>\n<td width=\"154\">0.5%: Where remittance is a repayment of loan obtained for the purpose of pursuing any education<\/p>\n<p>5%: In any other case<\/td>\n<td width=\"135\">0.375%: Where remittance is a repayment of loan obtained for the purpose of pursuing any education<\/p>\n<p>3.75%: In any other case<\/td>\n<\/tr>\n<tr>\n<td width=\"143\">Section 206C(1H)<\/td>\n<td width=\"197\">Sale of goods in excess of Rs.<\/p>\n<p>50 lakh<\/td>\n<td width=\"154\">0.10%<\/td>\n<td width=\"135\">0.075%<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<h3><span class=\"ez-toc-section\" id=\"Interest_in_delayed_payment_and_late_deduction_of_TDS\"><\/span><span style=\"color: #000080;\"><strong>Interest in delayed payment and late deduction of <a style=\"color: #000080;\" href=\"https:\/\/carajput.com\/tds.php\">TDS<\/a>:<\/strong><\/span><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p>As per section 201(1A), Interest at the rate of 1 % per month or part of the month on the balance of TDS deductible from the date of tax before the date of the tax finally deducted shall be paid for the late deduction.<\/p>\n<p>In addition, interest for late payment at a rate of 1.5 percent per month or half of the month on the number of <a href=\"https:\/\/www.caindelhiindia.com\/blog\/faqs-tds-on-purchases-section-194q\/\">TDS<\/a> withheld from the date of tax to the day on which the tax is collected shall be levied.<\/p>\n<p>Related Articles\/pieces of information : <a href=\"https:\/\/carajput.com\/blog\/how-to-file-tds-return-online\/\">How to file the return of TDS online<\/a><\/p>\n<ul>\n<li><a href=\"https:\/\/carajput.com\/blog\/new-revise-tds-tcs-return-filing-due-date-payment-due-date\/\">New revise TDS\/TCS due date for filing Return and Payment for the year 2020<\/a><\/li>\n<\/ul>\n<h3><span class=\"ez-toc-section\" id=\"Profit_in_late_payment_of_TDS_amendments_made_pursuant_to_the_Taxes_and_Other_Laws_Relaxation_of_Other_Provisions_Order_2020_of_24_March_2020\"><\/span><span style=\"color: #000080;\"><strong>Profit in late payment of <a style=\"color: #000080;\" href=\"https:\/\/carajput.com\/tds.php\">TDS<\/a>: amendments made pursuant to the Taxes and Other Laws (Relaxation of Other Provisions) Order 2020 of 24 March 2020:<\/strong><\/span><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<ul>\n<li>For late fees payable on self-assessment tax; advanced tax, income tax, TDS, TCS, equalization cessation, STT, CTT made between 20 March 2020 to 30 June 2020, the interest rate will be decreased by 9% instead of 12%\/18% per year (i.e. 0.75% per month instead of 1\/1.5% per month).<\/li>\n<li>No late fee\/penalty shall be paid for any delay in respect of that time.<\/li>\n<\/ul>\n<h3><span class=\"ez-toc-section\" id=\"Default_fees_for_the_TDS_TCS_return_file\"><\/span><span style=\"color: #000080;\"><strong>Default fees for the <a style=\"color: #000080;\" href=\"https:\/\/carajput.com\/services\/tds-return-filing.php\">TDS \/ TCS return<\/a> file:<\/strong><\/span><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p>Fees are payable at Rs. 200 a day for each day on which the loss continues. The amount of the fees can not exceed the value of the <a href=\"https:\/\/carajput.com\/tds.php\">TDS<\/a>.<\/p>\n<h3 style=\"line-height: 34.5pt; vertical-align: baseline; margin: 0cm 0cm 11.25pt 0cm;\"><span class=\"ez-toc-section\" id=\"New_Section_206AB_and_Section_206CCA_ITR_Return_filing_Higher_rates_TDSTCS_on_non_filed_the_ITR_on_time\"><\/span><span style=\"color: #ff0000;\"><span style=\"font-size: 11pt; font-family: Arial, sans-serif;\">New Section 206AB and Section 206CCA: ITR Return filing: Higher rates TDS\/TCS on non filed the ITR on time.<\/span><\/span><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p><a href=\"https:\/\/carajput.com\/blog\/wp-content\/uploads\/2020\/07\/Section-206AA-and-206AB.jpg\"><img loading=\"lazy\" decoding=\"async\" class=\"alignnone wp-image-10841\" src=\"https:\/\/carajput.com\/blog\/wp-content\/uploads\/2020\/07\/Section-206AA-and-206AB.jpg\" alt=\"\" width=\"823\" height=\"475\" srcset=\"https:\/\/carajput.com\/blog\/wp-content\/uploads\/2020\/07\/Section-206AA-and-206AB.jpg 600w, https:\/\/carajput.com\/blog\/wp-content\/uploads\/2020\/07\/Section-206AA-and-206AB-300x173.jpg 300w\" sizes=\"(max-width: 823px) 100vw, 823px\" \/><\/a><\/p>\n<p>In order to have a better knowledge of the newly inserted section, let us first know the applicability of Section 206AA &amp; 206CC in brief as the following &#8211;<\/p>\n<ul>\n<li>Above Section 206CC &amp; 206AA shall apply if the person fails to provide the PAN, where in case the person is responsible for deducting\/collecting the tax, as the case may be, is asked to apply the tax rate at the higher of the aforementioned:<\/li>\n<\/ul>\n<p><a href=\"https:\/\/carajput.com\/blog\/wp-content\/uploads\/2020\/07\/new-section-.jpg\"><img loading=\"lazy\" decoding=\"async\" class=\"alignnone wp-image-10842\" src=\"https:\/\/carajput.com\/blog\/wp-content\/uploads\/2020\/07\/new-section-.jpg\" alt=\"\" width=\"825\" height=\"431\" srcset=\"https:\/\/carajput.com\/blog\/wp-content\/uploads\/2020\/07\/new-section-.jpg 310w, https:\/\/carajput.com\/blog\/wp-content\/uploads\/2020\/07\/new-section--300x157.jpg 300w\" sizes=\"(max-width: 825px) 100vw, 825px\" \/><\/a><\/p>\n<table style=\"height: 232px;\" width=\"815\">\n<tbody>\n<tr>\n<td width=\"266\"><strong>Tax is required to be collected<\/strong><\/td>\n<td width=\"266\"><strong>Tax is required to be deducted<\/strong><\/td>\n<\/tr>\n<tr>\n<td width=\"266\">(i) at 2 time of the rate specified in the relevant section provision of this Act;<\/td>\n<td width=\"266\">(i) at the rate specified in the relevant provision of this Act;<\/td>\n<\/tr>\n<tr>\n<td width=\"266\">(ii) at the rate of 5%:<\/td>\n<td width=\"266\">(ii) at the rate or rates in force; or<\/td>\n<\/tr>\n<tr>\n<td width=\"266\"><\/td>\n<td width=\"266\">(iii) at the rate of 20%:<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<p><a href=\"https:\/\/carajput.com\/learn\/new-tds-deduction-provision-prevent-cash-transactions-of-more-than-1-crore-section-194n.html\">Also Read : New TDS deduction No cash transactions exceeding 1 Crore -Section 194N<\/a><\/p>\n<h3><span class=\"ez-toc-section\" id=\"Purpose_of_Section_206CCA_Section_206AB_increase_in_compliance_burden\"><\/span><span style=\"color: #333399;\">Purpose of (Section 206CCA &amp; Section 206AB) increase in compliance burden<\/span><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<ul>\n<li>The purpose of the Government is likely to be to compel consumers themselves to compel their suppliers to comply with the requirements on income tax and to file everyone\u2019s ITR and their commitment to increase compliance with income tax.<\/li>\n<li>Even so, it may create a major burden of compliance for taxpayers with a huge number of providers to whom such regulations would apply.<\/li>\n<li>We will have to wait and see how the sector reacts to this provision and compile with it.<\/li>\n<\/ul>\n<p>Related Articles\/pieces of information : <a href=\"https:\/\/carajput.com\/learn\/key-features-of-tcs-on-goods-sale-section-206c-1h-applicable-from-1-october-2020.html\">key features of TCS on goods sale section-206c<\/a><\/p>\n<p>You can give your comments and suggestions under the comment box.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>&nbsp; New Turnover Threshold for the Purposes of Tax deducted at Source (TDS) Applicability as per the Finance Act 2020. TDS was applicable to individuals and to HUF if their accounts were subject to audit in Section 44AB of the preceding year. The Finance Act 2020 specifies that All individuals &amp; HUF will be liable &hellip;<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[15],"tags":[9309,9310,8992],"aioseo_notices":[],"_links":{"self":[{"href":"https:\/\/carajput.com\/blog\/wp-json\/wp\/v2\/posts\/6264"}],"collection":[{"href":"https:\/\/carajput.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/carajput.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/carajput.com\/blog\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/carajput.com\/blog\/wp-json\/wp\/v2\/comments?post=6264"}],"version-history":[{"count":5,"href":"https:\/\/carajput.com\/blog\/wp-json\/wp\/v2\/posts\/6264\/revisions"}],"predecessor-version":[{"id":10840,"href":"https:\/\/carajput.com\/blog\/wp-json\/wp\/v2\/posts\/6264\/revisions\/10840"}],"wp:attachment":[{"href":"https:\/\/carajput.com\/blog\/wp-json\/wp\/v2\/media?parent=6264"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/carajput.com\/blog\/wp-json\/wp\/v2\/categories?post=6264"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/carajput.com\/blog\/wp-json\/wp\/v2\/tags?post=6264"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}