The Ministry of External Affairs is in the soup for not filing e-TDS (tax deduction at source) for the past few years and at fault are over 100 diplomats who have not given their PAN numbers to the ministry. Sources said the Income Tax (I-T) Department has taken up the matter with the MEA, and [...]
Archive for the ‘TDS’ Category
Tax deducted at source (TDS) has become a problematic issue with the income tax department as in more than 50% TDS refund cases it is facing an uphill task in matching the data provided in the assessee’s income tax returns with the TDS deductor’s information available with the NSDL. And the mismatch is resulting in [...]
Entities required to deduct tax while making payments could face a close scrutiny of their returns by the income-tax department as it gears to check payment defaults and boost collections.
The I-T department is contemplating scrutinising TDS returns on the lines of income tax and corporate tax returns to ensure that those required to deduct tax at source are complying with the rules and depositing due taxes.
The Income Tax department probing alleged financial irregularities in the IPL has collected TDS of nearly Rs 4 billion (Rs 400 crore) from the third edition of the T20 tournament.
The department has accrued the amount as Tax Deducted at Source from the remuneration paid to players, umpires, coaches, commentators and from payment of overseas publicity rights.
In a landmark ruling recently, the Bombay High Court has said that sale contracts will not be subject to TDS, thereby giving relief to manufacturing companies, and also clarifying the issue by distinguishing between work contracts and sale contracts.
In an oral judgement, delivered on March 12, the court held that while “works contract” were subject to TDS under section 194C of the Income-Tax Act, “sales contract” were not.
The question whether contract manufacturing agreements are subject to s. 194C has been decided by the Bombay High Court in Glenmark Pharmaceuticals Ltd ITA No. 2256 of 2009 and other matters in favour of the assessees.
In an oral judgement pronounced today 12th March 2010, the Court held that while “works contracts” were subject to TDS under section 194C, “sales contracts” were not.