Archive for June, 2010

TDS as Applicable wef 1st June, 2010

June 8, 2010

 

TDS(tax deducted at Source) Rate chart For Financial Year 2010-11
Made To resident Nature of payments Threshhold Limit Company, Firm, Co-op

Society,Local authority

 

 

HUF ,

Individual

Sr No. Section TDS Rates
1 194A Interest from a Banking company 10000 10% 10%
194A Interest other than from a Banking company 5000 10% 10%
2 194B     Winning from Lotteries 10000 30% 30%
3 194 BB Winning from Horse Race 5000 30% 30%
4 194 C Payment to Contractors,Pay to Advt /Sub-

Contractor, Payment to Transportor

30000 (75000 in a year) 2% 1%
5 194 D Insurance Commission 20000 10% 10%
6 194 H Commission/Brokerage 5000 10% 10%
7 194 I Rent-property 180000 10% 10%
194I Rent-Plant / Machinery 180000 2% 2%
8 194J Professional Fees 30000 10% 10%
Note -1 For Section 194C Rs. 20000/30000 for single payment & Rs. 50000/75000 for aggregate Payment during a financial year.
Note -2 Payment Made to Transportor ,Tds is Not required If pan is provided By the Transportor.
Note-3 Surcharge and Cess Is not applicable on tds from 01.04.2009 on any payment made to resident.
Note-4 If pan not provided by the deductee then rate as per above table or 20% which ever is higher is to be charged.(effective from 01.04.2010 section

206AA)

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Message regarding alterations on Cheque leaf

June 8, 2010

All banks have received RBI guidelines by virtue of which Banks are supposed to prohibit alterations / corrections on the cheque leaf.

As per RBI Circular – DPSS.CO.CHD.No. 1832/01.07.05/2009-10 dated 22nd February 2010.


Prohibiting alterations / corrections on cheques :

No changes / corrections should be carried out on the cheques (other than for date validation purposes, if required). For any change in the payee’s name, courtesy amount (amount in figures) or legal amount (amount in words), etc., fresh cheque forms should be used by customers. This would help banks to identify and control fraudulent alterations.

Basis the above guidelines branch / clearing teams can return cheques which have any alteration in the

  • Payee Name
  • Amount in numbers
  • Amount in words

The only alteration which is allowed is the alteration in the date.

Bank branches will start returning the cheques for cash payments across the counter and Fund Transfer and clearing cheques effective 1st July 2010.