Difference between TDS in Income Tax and TDS in DVAT (WCT)

TDS in Income Tax

TDS in DVAT WCT

Rate of TDS Under 194C

Payment to Individual /HUF 1%

Payment to Others 2%

Rate of TDS

Payment to Registered Contractor-4%

Payment to Unregistered Contractor-6%

Applicable only If Deductor is

Covered in Tax Audit

(Individual/HUF/Partnership having turnover>1 Cr

Or

Company )

Not Applicable to individual/HUF

(Turnover is not important)

(Always applicable to Partnership and Companies)

Cut off limit

30000 Single Payment

Or

100000 Annual

Cut off limit

20000 Single Contract

TDS to be deducted on Bill or Payment which ever is earlier

TDS is applicable even on Advance

TDS to be deducted on Bill or Payment which ever is earlier

TDS is NOT applicable on Advance

TAN No

Form Applicable is Form 49B

(Tan Number issued by email)

TAN No

Form Applicable is Form DVAT 44

(Tan no issued in Form DVAT 45)

Challan payment

Due date is 7 ^th of next month

However,for March,it is 30 April

Interest on late payment is 1.5%+1.5%=3% p.m

Challan payment

Due date is 15 ^th of next month

(Even for March,it is same)

Interest on late payment is 15% p.a.

TDS Return

It is to be file quarterly one month from end of quarter

April-June->31 July

July-Sep->31 Oct

Oct-Dec->31 Jan

Jan-March->31 May

Form No Prescribed is Form 26Q

TDS Return

It is to be file quarterly by 28 ^th of next quarter

April-June->28 July

July-Sep->28 Oct

Oct-Dec->28 Jan

Jan-March->28 April

Form No Prescribed is Form DVAT 48

TDS Certificate

It is to be issued quarterly 15 days of filing TDS Return

In case of late payment, Penalty applicable is 100 per day

(TDS Certificate is issued after both challan & return)

Only One copy of TDS Certificate required

TDS Certificate

It is to be issued Montlhy 7 days of filing TDS Challan

In case of late payment, Penalty applicable is 100 per day

(TDS Certificate is issued after challan before return)

4 copies of TDS Certificate required