Business Taxation Assignment
Business Taxation Assignment
Business Taxation Assignment
Trimester IV
Program: PGDM-E
Assignment No. 1
Submitted By:
Name: Dhrumil Sodani (2021E055), Drashti Jain(2021E011), Nishtha Agarwal
(2021E027), Parikshit Hegde (2021E028)
Submitted To:
Name of Course Teacher: Shri MC Gupta
Q.No 1 2 3 4 5 6 Total
CO
Max. Marks
Marks Obtained
(The above given table is for the use of faculty only)
1
The Concept of TDS
What is TDS?
TDS or Tax Deducted at Source is income tax reduced from the money paid at the time of
making specified payments such as rent, commission, professional fees, salary, interest etc.
by the persons making such payments. Usually, the person receiving income is liable to pay
income tax. But the government with the help of Tax Deducted at Source provisions makes
sure that income tax is deducted in advance from the payments being made by you.
The recipient of income receives the net amount (after reducing TDS). The recipient will add
the gross amount to his income and the amount of TDS is adjusted against his final tax
liability. The recipient takes credit for the amount already deducted and paid on his behalf.
What is the due date for depositing the TDS to the government?
The 7th day of the subsequent month is the due date for depositing the TDS to the
Government. e.g. if you have deducted TDS any time between 1st to 30th September, you
have to deposit it by 7th October. However, it differs in two cases:
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• If TDS is deducted in March, you can deposit it until 30th April of that calendar year.
• TDS deducted on rent or purchase of any property can be deposited within 30 days
from the end of the month you have deducted TDS.
Applicable Income
Section 192, Salary Salaried individual Tax slab
3
Section 194DA, Life insurance
policy Individual 1%
4
10% for resident
Section 194LBA, Income from individuals and 5% for
units of a business trust Business trusts NRI
5
From 26QC TDS on rent 30 days from the end of the month in
which TDS is deducted
Form
16 Salary payment Yearly, 31st May
6
Under What Circumstances Can Taxpayers Claim Refund or Reduction of Applicable
TDS?
• The total income is not within the income tax payable slab.
• TDS paid is more than tax payable liability.
• The taxpayer has got a loss of income in the current month.
• The previous year loss carried forward in the present year.
• The taxpayer is eligible for tax exemption.
You may avoid TDS deduction by submitting form 15G/15H. Form 13 can be submitted for
claiming a refund or non-reduction of TDS.
Each taxpayer should thoroughly know what TDS is and why it is deducted to file the return
and get maximum benefits. It is a payee-friendly act to justify the income tax payment
seamlessly.