This is presentation containing details of various updates on the TDS deduction and procedures under the Indian Regime. Prepared in 2009

1. 1 TECHNICAL ISSUES RELATING TO E-FILING OF TDS & INCOME TAX RETURNS AND OTHER RECENT AMENDMENTS BY C A S ANDESH MUNDRA FCA, DISA, DIRM SANDESH MUNDRA & ASSOCIATES Chartered Accountants

15. The man replied I am an __________________

16. “ THEN CAME A DEFERMENT WHICH POSTPONED THE CHANGES No.402/92/2006- MC (11 of 2009) The Central Board of Direct Taxes have decided to defer the implementation of Notification No.31/2009 dated 25.3.2009 amending or substituting Rules 30, 31, 31A and 31AA of the Income Tax Rules, 1962. The amended / substituted Rules will now come into effect on 1st July 2009 instead of 1st April 2009.

17. THEN CAME ANOTHER MAJOR RELIEF FOR EVERYONE PRESS RELEASE New Delhi dated 30th June 2009 The Central Board of Direct Taxes have further decided that the Notification No. 31 of 2009 dated 25.3.2009 amending or substituting Rules 30, 31, 31A and 31AA of the Income Tax Rules, 1962 shall be kept in abeyance for the time being. Taxpayers filing their income tax returns for assessment year (AY) 2009-10, or any other earlier AY, may continue to file their returns without mentioning the Unique Transaction Number (UTN) as required under the said Notification. The filing of such returns shall be treated as valid and in compliance to the requirements under section 139 of the Income Tax Act, 1961.

18. MAJOR RELIEF Further, the date from which the Notification No. 31 / 2009 shall become applicable on tax deducted at source (TDS) or tax collected at source (TCS) and deposited during the current financial year shall be notified by the Central Board of Direct Taxes subsequently. All deductors / collectors of TDS / TCS may continue to deposit their TDS / TCS and file their quarterly TDS / TCS returns as per procedure existing prior to issuance of Notification No.31 / 2009 dated 25.3.2009.

32. 10% 10% - Land, Build. Furn. etc 2% 2% 194 I - Plant, Machinery Rent – 10% 10% 194 H Commission & Brokerage 2% 1% - If PAN not given NIL NIL - If PAN Given Transporter 2% 1% Advertisement Contract 2% 1% Sub Contractor 2% 1% 194 C Contractor 10% 10% Interest (by Bank) 20% 10% 194A Interest All other Cases Individual / HUF Payment to (Recipient) (wef 1-10-2009) RATES Section Nature of Payment 10% 10% 194J Professional / Technical Fees

55. THANK YOU A nervous taxpayer was unhappily conversing with the TAX officer who had come to review his records. At one point the officer exclaimed, “As a citizen you have an obligation to pay taxes, and we expect you to eagerly pay them with a smile." "Thank God," returned the taxpayer. “Take as many smiles as you want but don’t ask for cash."