Person Responsible to Deduct Tax:
Insurance Companies
Category of Payee:
Resident Assessee
Rate of Deduction of Tax:
10%
Exemption Limit:
Amount of payment in aggregate not exceeding Rs.5000/- during the financial year.
Time for Deduction of Tax:
At the time of credit or payment whichever is earlier
Time for Deposit of TDS:
In case of deduction by or on behalf of Government, on the same day. In all other cases:
- If the amount is credited on the last day of the accounting year– within 2 months from the end of the month in which it is credited
- Other cases- within 1 week from the last day of the month of tax deduction.
- The assessing officer may in special cases, with the approval of JCIT, permit the payment of TDS quarterly i.e., 15th July, 15th Oct., 15th Jan., and 15th April.
Deduction of Tax at Lower Rate or Non-Deduction of Tax:
Application of Form No. 13 shall be made to the assessing officer.
Certificate in Plain Paper shall be issued by the assessing officer to the assessee.
