Manage your cash flow save from extra TDS deduction
If your TDS has been deducted much higher amount, what actual proposed tax liability may arise, why not right now workout estimated tax liability in advance compare with TDS supposed to be deducted. So that can apply as of now lower rate TDS deducted certificate.
It would be better to apply lower tax deduction certificate from the income tax department.
TDS supposed to be deducted by payer in respect of interest, contract or professional income recipient may prior apply for lower rate, in order to save extra tax deducted and unnecessary go income tax refund.
If you are landlord you may also apply lower TDS certificate in respect of TDS deducted by tenant as your TDS on rental income.
If you are selling you property buyer has responsible to deducted TDS whereas your capital gain not liable to tax by reason of loss, why not you go for lower rate TDS deduction certificate.
TCS provision has also been amended w.e.f. 1.10.2020, if you are buyer paying to seller whose turnover exceeds Rs. 10 crore, in any previous year payment exceeds Rs. 50 lakhs. Than, seller has responsibility to collect tax @ 0.1% as TCS from buyer. E.g. Buyer while making payment to seller of Rs. 10,00,000/- seller has responsible to collect, pay to government Rs. 10000/- as TCS liability and rest amount Rs. 990,000 credited to buyer account.
