The incometax act, 1961 is the charging statute of income tax in india. As per section 194h, the tds has to be deducted by any person who is paying commission or brokerage to any resident individual. Text of remaining provisions of allied acts referred to in income tax act 1. According to section 194b of the income tax act 1956, the person responsible for paying to any person any income by way of winnings from lottery or crossword puzzle or card game and other game of any sort in an amount exceeding ten thousand rupees shall at the time of payment thereof, deduct income tax. Download this app from microsoft store for windows 10 mobile, windows phone 8. Section 194h and 194ia of income tax act 1961 commission or brokerage and payment on transfer of certain immovable property other than agricultural land are defined under section 194h and 194ia of income tax act 1961. Tds on contracts section 194c of income tax act, 1961. Tds under section 194h is applicable to the person paying commission or brokerage to a resident exceeding rs.
Section88b rebate of income tax in case of individuals of sixtyfive years or above omitted section88c rebate of income tax. And the time of deduction is earlier of, the credit of income to the account of the payee receiver. Any person, other than individual or a hindu undivided family who is responsible for paying, to a resident, any income by way of commission not being insurance commission referred to in section 194d or brokerage, shall, deduct income tax. Any person who is responsible for paying any income by way of commission other than insurance commission or brokerage to a resident shall deduct income tax at the rate of 5% under section 194h of income tax act, 1961 however, an individual or huf whose total sales, gross receipts or turnover from the business or profession carried on by him do not exceed the monetary limits of 1 crore and. Income tax act 58 of 1962 south african government. Individual or huf whose gross receipts or turnover does not exceeds 1 crore or 50 lakhs in case of business or profession is not to deduct tds under section 194h. The act has, therefore, inserted a new section 194h relating to deduction of tax at source from income.
All air prevention and control of pollution act, 1981 apprentices act, 1961 arbitration and conciliation act, 1996 banking cash transaction tax black money undisclosed foreign income and assets and imposition of tax act, 2015 central boards of revenue act, 1963 charitable and religious trusts act, 1920 charitable endowments act. It provides for levy, administration, collection and recovery of income tax. This app is amended as per finance act 2017 and contains income tax act amended as per finance act 2016 also. Persona and hindu undivided family huf are obligated to this. Section 194h of the income tax act, 1961 requires tds to be done on any income by way of commission or brokerage. The section, however, excludes the commission earned through insurance sales. Income tax act 1961 section 194h citation 23621 bare. In the instant case, the income tax department revenue had challenged the order of the itat in holding that the payment of guarantee commission paid by the assessee to the banks was not covered under commission or brokerage as defined us 194h of the income tax act, 1961 the act and the assessee was not liable to deduct tax. Section 194h commission or brokerage incometax act, 1961. This income tax app by offline apps india provides section wise list of bare act. Latest income tax act sections list has been provided for finance people.
List of sections of income tax act 1961 download pdf. Income tax of india, 1961 is the governing legal act in respect of levy, collection, administration and recovery of direct taxes in india. Section 194h is not applicable to insurance commission as referred in section 194d of income tax act. Download the list of sections of income tax act, 1961 in pdf and excel format. The person to whom the amount of commission is paid shall be resident of india. It is in short the ultimate document when it comes to understanding income tax in india. Is bank guarantee commission liable to tds us 194hsc. Income tax act 1961 complete act citation 530 bare. Any person responsible for making any payment to a resident contractor for a contact to carry out any work or in connection to a contact for carrying out any work has to deduct tds under section 194c of income tax act, 1961. The government recently introduced section 194ib in the income tax act. This income tax app provides section wise list of bare act.
The act has been amended and reamended so drastically that it has become very complicated for the administering authorities as well as for the tax. Whenever there is a credit of incomes related to brokerage or commission to the account of the payee or any other account tax deduction at source will be done under the section of 194h of income tax act 1961. Section page contents division one 111 income tax act, 1961 page u arrangement of sections i3 u text of the income tax act, 1961 as amended by the finance act, 2011 1. Tds on commission or brokerage section 194h of income tax act. Tax is required to be deducted under section 194h by person paying commission or brokerage above rs 15000. All air prevention and control of pollution act, 1981 apprentices act, 1961 arbitration and conciliation act, 1996 banking cash transaction tax black money undisclosed foreign income and assets and imposition of tax act, 2015 central boards of revenue act, 1963 charitable and religious trusts act, 1920 charitable endowments act, 1890. Section 194h of the income tax act, 1961 requires the deductor to deduct tds within earlier of the following dates at the time of credit of commission or brokerage to the account of the. Section 194h commission or brokerage income tax act, 1961 x x x x extracts x x x x notification no. Section 194h of the income tax act, 1961 enterslice. The provisions of section 194h of the income tax act, 1961 governs the tds deductible on commission or brokerage income the present article briefs the basic provisions of section 194h of the income tax act. But the purview of the said section extends to any individuals and huf, liable to audit under section 44ab a,b. Section 194h of income tax act 201819 on commission and. Cbdt circular on section 194h of the incometax act, 1961.
Section 194h of the income tax act, 1961 deals with the deduction of tds from commission or brokerage income. Cbdt circular on section 194h of the income tax act. Various tds rates on various incomes have been prescribed under the income tax act. Any person who is responsible for paying any income by way of commission other than insurance commission or brokerage to a resident shall deduct income tax at the rate of 5% under section 194h of income tax act, 1961. Insertion of new section 194h income tax department. Commission or brokerage an individual or a huf who are not liable to deduct tds under section 194c, 194h. A resident individual or the member of hindu undivided family, who is liable to pay any type of commission or brokerage excluding the insurance commission is liable. Section 194h of the income tax act, 1961, is basically concerned with the income tax that is in turn levied on the income which has been earned by means of commission or brokerage. Earlier section 194h, as omitted by the finance act, 1999, with effect from 1st april, 2000, stood as under.
Section 194a of income tax act, tds under section 194a. Ppt income tax act 1961 powerpoint presentation free. This app by offline apps india is amended as per finance act 2019 and contains income tax act amended as per finance act 2018 also. Any person, not being an individual or a hindu undivided family, who is responsible for paying, on or after the 1st day of june, 2001, to a resident, any income. Given income tax act sections list includes revised, omitted and newly added tax. Section 194b of income tax act 1961 an individual or huf paying rent of more than rs 50,000 per month is now required to deduct tax at source tds.
Applies to the whole of india including sikkim and jammu kashmir. Be it enacted by parliament in the twelfth year of the republic of india as follows. The income tax act, 1961 is the charging statute of income tax in india. Tax is levied on the commission or brokerage income. An act to consolidate and amend the law relating to income tax and super tax. Tax at source has to be deducted at the rate of 10%, at the time of credit or payment whichever is earlier. Section 194h of the incometax act, 1961 deduction of tax at source commissionbrokerage assessment years 200405 to 200708 assesseecompany was engaged in business of providing. Given income tax act sections list includes revised, omitted and newly added tax rules. The same is covered under section 194d of the income tax act, 1961. It lays down all the rules and regulations in respect of direct taxes in india. Section 194h of the income tax act underlines the provision for a tax deduction on earnings as the commission or brokerage by a resident individual. After section 194g of the income tax act, the following section shall be inserted with effect from the 1st day of june, 2001, namely.