What is the threshold limit for 194J?
INR 30,000
As per Section 194J, each item or independent payment has a threshold maximum limit of INR 30,000. TDS under this section also applies for the fees or remuneration paid to the company’s director even if the payment is not part of the main salary. In such cases, the INR 30,000 limit does not apply here.
What is the threshold limit for TDS on professional fees for FY 2020 21?
30,000
TDS Rate Chart for Financial Year 2020-21
| Section | Nature of Payment | Threshold Rs |
|---|---|---|
| 194IB | Rent by Individual / HUF | 50000/PM |
| 194IA | Transfer of certain immovable property other than agriculture land | 50,00,000 |
| 194J | Professional Fees / Technical Fees etc. | 30,000 |
| 194J | Payment to FTS, Certain Royalties and Call Centre Operator | 30,000 |
Under what circumstances TDS u/s 194J is not deductible?
Individuals and HUFs carrying on business, where the turnover or gross receipt does not exceed Rs. 1 crore in the previous year shall not deduct TDS u/s 194J. Individuals and HUFs carrying on profession, where the gross receipts do not exceed Rs. 50 lakh in the previous year shall not deduct TDS u/s 194J.
Is TDS applicable on annual subscription fees?
TDS is not applicable in case of membership fees paid. No need to deduct TDS.
Is income under 194J taxable?
Section 194J requires deduction of tax at source @10% from the amount credited or paid by way of fees for professional services, where such amount or aggregate of such amounts credited or paid to a person exceeds Rs. 30,000 in the F.Y. 2021-22.
What is threshold limit for TDS on professional fees?
30000
The Threshold Section 194J Under TDS
| Category | Threshold Limit |
|---|---|
| Fees for professional services | 30000 |
| Fees for technical services | 30000 |
| Royalty | 30000 |
| Non-compete fees | 30000 |
Is TDS applicable on 30000 professional fees?
Section 194J requires deduction of tax at source @10% from the amount credited or paid by way of fees for professional services, where such amount or aggregate of such amounts credited or paid to a person exceeds Rs….Section 194J TDS on Professional or Technical Fees.
| Nature of payment | Threshold limit | Rate of tax |
|---|---|---|
| Royalty | Rs. 30,000 | 10% |
| Non-compete fees | Rs. 30,000 | 10% |
What is 194J A & 194J B?
u/s 194J(a) of the Income Tax Act, is related to TDS deduction on fees for Technical Services, and u/s 194J(b) of the Income Tax Act is related to TDS deduction on fees for Professional Services.
What is the limit to deduct TDS on professional fees?
Rs 30,000 per annum
What is the limit to deduct TDS under Section 194J? TDS is required to be deducted under Section 194J if the payment towards professional or technical services covered under this section exceeds Rs 30,000 per annum.
What is the limit of TDS deduction on professional fees?
Rs. 30,000
Section 194J TDS on Professional or Technical Fees
| Nature of payment | Threshold limit | Rate of tax |
|---|---|---|
| Fees for professional services | Rs. 30,000 | 10% |
| Fees for technical services and payment to call centers | Rs. 30,000 | 2% (for FTS- 10% upto FY 19-20) |
| Remuneration or fees to Director (other than 192) | NIL | 10% |
| Royalty | Rs. 30,000 | 10% |
What is the threshold limit for professional fees?
What is the limit for TDS deduction?
The threshold for deduction of the TDS under section 194C is Rs. 1,00,000/- for aggregate payment of the whole Financial Year and Rs 30,000/- for the single payment.
Who is liable to deduct TDS u/s 194J?
Who is Liable to Deduct TDS Under Section 194J? Everyone except an individual/HUF who is liable to make the following payments to any resident is liable to deduct TDS Under Section 194J: Fees for professional services and for technical services or.
What is 194J A and 194J B?
(i) Section 194J(A) of the Income Tax Act is related to TDS deduction on any sum paying as fees for Technical Services. (ii) Section 194J(B) of the Income Tax Act is related to TDS deduction on any sum paying as fees for Professional Services. 4. Distribution or exhibition of cinematographic films.
What is TDS and TDS limit?
For the assessment year, 2020-2021 the exemption limit for an individual is Rs 2,50,000. Section 194B – TDS on winning from lottery, crossword or any game: A TDS of 30% is deducted from any amount received by the way of lottery, crosswords or any other game if the amount exceeds Rs. 10,000.
What is Section 194J A?
What is section 194J under the Income Tax Act? Section 194J stated that any person who is paying fees to any resident person for specified services, then TDS is required to be deducted u/s 194J. However,TDS is to be deducted when amount of payment in a year exceeds Rs. 30,000/- at the rate of 10%.
What is limit of TDS on professional?
What is TDS exemption limit?
Items Liable for a TDS Deduction Section 192 – TDS on salaries: TDS on salaries is deducted at the rate of the income tax slab for the relevant year. For the assessment year, 2020-2021 the exemption limit for an individual is Rs 2,50,000.
What is the difference between 194J A and 194J B?
What is Section 194J of Income Tax Act?