Deduction of tax at source-Section 194B and 194BB of the Income-tax Act, 1961-Deduction from winnings from lottery or crossword puzzle or horse race-Rates of tax applicable during the financial year 1988-89

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....d puzzle or horse race-Rates of tax applicable during the financial year 1988-89. I am directed to invite a reference to this Department's Circular No. 485 (F. No. 275/42/87-IT(B)) dated 27-5-87 [Printed at [1987] 166 ITR (St.) 120] and Circular No. 507 (F. No. 275/22/88-IT(B)) dated 23-2-1988 [Printed at [1988] 171 ITR (St.) 3] on the above subject, wherein the rates at which deduction of tax under sections 194B and 194BB to be made during the financial year 1987-88 from winnings from lotteries or crossword puzzles or horse races and the rate of surcharge leviable thereon were communicated. 2. According to the provisions of section 115BB of the Income-tax Act, 1961, any income of a casual and non-recurring nature of the type of winnings ....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

..... 275/118/87-IT(B)) dated 9-10-87 [Printed at [1988] 169 ITR (St.) 54]. If a person fails to comply with the provision of section 203A, he shall, on an order passed by the ITO pay, by way of penalty, a sum which may extend to Rs. 5,000. 4. In this connection attention is also invited to the provisions of section 206 of the Income-tax Act, 1961, which reads as under: "206. The prescribed person in the case of every office of Government, the principal officer in the case of every company, the prescribed person in the case of every local authority or other public body or association, every private employer and every other person responsible for deducting tax under the foregoing provisions of this Chapter shall prepare, within the prescribed ....