Exemption from rules: On the morning of 24th April, exemption from rules has been announced for taxpayers and those doing their own business.
Taxpayers/businessmen have got relief regarding TDS/TCS deduction. The rule of double deduction has been relaxed when PAN becomes inoperative. There will be no double deduction on PAN which is inactive till 31 May 2024. At the same time, transactions done till March 31 will also be exempted from this rule. Let us tell you that the IT department had sent notices regarding transactions till 31.03.2023. These notices were issued to taxpayers. Taxpayers had received IT notices for depositing less TDS/TCS.
Let us tell you that if PAN-Aadhaar is not linked, the department deactivates PAN. There is a rule of double TDS/TCS deduction on transactions with inactive PAN.
Note: What is TDS?
TDS TDS is deducted on different types of income sources. Such as salary, interest or commission received on any investment etc. The government collects taxes through TDS. However, this does not apply to every income and transaction.
Some rules have been set by the Income Tax Department for deducting TDS. Let us tell you that the government does not deduct TDS directly.
The responsibility of depositing TDS in the government account rests with the person making the payment or the organization making the payment. Those who deduct TDS are called deductors. The one who gets payment after deducting tax is called deductee.
TDS rates start from one percent to 30 percent. If we talk only about TDS on salary, then according to the income slab, TDS of 10 percent is levied on the total income of the person.
At the same time, up to 10 percent TDS has to be paid on maturity of FD. If the customer has not given his PAN card information to the bank, 20 percent TDS is charged from him.
What is TCS- TCS is actually called tax deposited at source. This is also called the tax collected from income. TCS is paid by the seller, dealer, vendor and shopkeeper. TCS is actually deducted on high value transactions.
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