Surcharge - Limit for tds

[Guest]

In case of a company whose income will be less than rs. 1 cr for AY 2007-08 & inividuals whose income will be less than 10 lacs, no surcharge is applicable on TDS.But how the deductor will ascertin the same.please tell the procedure,rules etc. Thanks

[Sanjeev Sharma]

Deductor will ascertain on the basis of total amount paid/ payble by him to the dedcutee during the year . If the amount payble by the deductor to deductee during the year is more than above mentioned limit than the deductor has to add 10% surcharge also.

[Guest]

Someone please reply

AI Summary

Surcharge on TDS: deductor must assess aggregate payments and add surcharge when threshold is exceeded. Surcharge on TDS is determined by reference to the aggregate amount paid or payable by the deductor to the deductee during the year; if that aggregate exceeds the applicable threshold the deductor must add the prescribed surcharge percentage to TDS withheld, whereas no surcharge is applied when the deductee's relevant income does not exceed the threshold.