Wednesday, June 29, 2022

New TDS Rule: New TDS rule will be applicable from July 1, will it affect you too? Know every detail

TDS Rule: From July 1, the new rule of Tax Deducted at Source (TDS) is being implemented. The new rule will apply to the business of sales promotion. It will have a significant impact on social media influencers and doctors.

The new TDS rule has been released by the Central Board of Direct Taxes (CBDT). To combat income leakage, the Union Budget included a new clause, 194R, to the Income Tax Act of 1961.

The rewards, according to Kamlesh C Varshney, Joint Secretary in the Finance Ministry, include free medicine samples for doctors, overseas travel tickets, or free Indian Premier League tickets. League (IPL) tickets while on business and much more. Varshney underlined the importance of disclosing this while submitting tax returns.

What did CBDT say?
According to the Central Board of Direct Taxes (CBDT), the payer/deductor is not required to do taxation checks on the amount in the payee’s hands. Furthermore, the type of item provided as an additional advantage is irrelevant. Section 194R covers even capital assets given as a profit.

In addition, dealers who offer incentives other than discounts or refunds are subject to section 194R. This discount can be in the form of cash or items like a car, TV, computer, gold coin, mobile phone, free ticket, etc.

Read More: Tax return: Income is not worth paying income tax! Complete your tax return by all means, knowing the rules and benefits.

The CBDT confirms that section 194R will apply if doctors working in hospitals receive free pharmaceutical samples. As an employer, the hospital can classify such a sample as a taxable perk for its employees and deduct tax under section 192.

Whereas, for doctors working as consultants in a hospital and receiving free samples, TDS would ideally be applicable in the first hospital, which would require a deduction of tax under section 194R in respect of consultant doctors.

🔥🔥 Join Our Group For All Information And Update, Also Follow me For Latest Information🔥🔥
🔥 YouTube                  Click Here
🔥 Facebook Page                  Click Here
🔥 Instagram                  Click Here
🔥 Telegram Channel                   Click Here
🔥 Google News                  Click Here
🔥 Twitter                  Click Here


Please enter your comment!
Please enter your name here

Most Popular


Disease X: The danger of this new disease engulfing the world amid the corona epidemic, strange symptoms are emerging in Britain

Disease X: Amidst the corona epidemic, there is a danger of a new disease in the world. A new disease has been detected in...

Seeing this amazingly beautiful new Wagon R, the heart will yearn to buy! Take a look at the photos; too cute

Maruti Suzuki Wagon R: The Suzuki Smile Wagon R is very popular in India. It is an affordable car and contributes a lot to...

Google users are shocked! This service will end this year; do you not utilise it as well?

One of Google's services is about to be discontinued. The request has been made for users of this service to move to Chat. Understand...

Amarnath Yatra 2022: Official start of the yatra begins tomorrow under heavy security, with the first batch of LG flagged off.

Kashmir and Jammu LG The residents of the Union Territory are eager to welcome the pilgrims, according to Manoj Sinha. The security apparatus is...

GST Council Meeting: Shock of inflation! Branded paneer and curd will be expensive, this service of the bank will be taxed

GST Council Meeting: After following several suggestions of the finance ministers of the states, it has now been decided to impose GST on packaged...

Most Popular


* indicates required