1. Along with Fixed Deposit Receipts ( FDR ) interest , interest on Recurring Deposit ( RD) will be also subject to TDS. Sec 194A.
2. Exemption of TDS on interest received from co op banks by its members is withdrawn. Now members of co op banks needs to submit form 15G/ 15H, PAN etc to their co op banks else bank will deduct TDS at higher rates. Sec 194
3. For calculation of Threshold limit for TDS from interest on FDR and RD will be on the basis of per “bank” and not per “branch”. Hence splitting of deposits amongst various branches become useless. Sec 194A.
4. Employer need to collect and keep proof of deduction claimed by the employees from their salary income. Sec 192.
5. Furnishing of information in form NO. 15CA/15CB is made mandatory, irrespective of the fact whether or not such remittances are subject to tax. Sec 195 (6).
6. If person fails to furnish the information in form 15CA/15CB or furnishes inaccurate particulars will be liable for penalty of Rs.1,00,000.(Rs.one lac). Sec 271 I
7. Person like individual & HUF who are not subject to tax audit u/s 44B need not take TAN for payment of one time TDS like buying property from NRI. Sec 203A
8. Now TCS return will be also processed. Sec 206CB
9. Payment to transport operators is subject to TDS if the transport operator is having more than 10 trucks or fails to give declaration that he owns less than 10 trucks and his PAN. Sec 194C.
10. In case of motor accident claim, TDS provisions will be applicable only at the time of payment if claim amount exceeds 50000 and not at the time of credit. Sec 194A.
Note: Above is Contributed by our Active Member CA.Virag Shah.