TDS on cash withdrawal

TDS on Cash Withdrawal (Section 194N) (Expert Guide)

The Union Budget, 2020 amended Section 194N related to TDS on cash withdrawal from savings/current bank account. As per this amended Section, if an assessee has not filed Income Tax Return (ITR) for the last three financial years, then cash withdrawal from his/her savings or current bank account will attract TDS if the total amount withdrawn in a financial year exceeds Rs 20 lakh / Rs. 1 crore

Which section is applicable - Section 194Q or Section 206C(1H)

Which Section is applicable – Section 194Q or Section 206C(1H)?

Through the Union Budget, 2021, a new section namely Section 194Q was inserted in the Income Tax Act and this section is similar to the provisions of Section 206C(1H) of the Act. This is so because both of these sections deals with same transaction of sales/purchases above Rs. 50 lacs from party whose turnover whose turnover is previous year exceeds Rs. 10 crore. Further, Section 194Q talks about deducting TDS and Section 206(1H) talks about collecting tax.

Income Tax Compliance Calendar August, 2021

Compliances Due Dates: Income Tax, August 2021

Income Tax due dates are notified by Central Board of Direct Taxes for each month. Non-compliance of the various filing can lead to heavy penalties. The due date for compliances in August, 2021 are as follows:

Extension of DUE DATES due to COVID-19

Extension of due dates due to COVID-19

Many taxpayers have received financial help from their employers and well-wishers for meeting their expenses incurred for treatment of COVID-19. In order to ensure that no income tax liability arises on this account, it has been decided to provide income-tax exemption to the amount received by a taxpayer for medical treatment from employer or from any person for treatment of COVID-19 during FY 2019-20 and subsequent years.