Tds - Applicability of Nill rate , Income Tax

[Rahul Bagaria]

We have received NIL tax exemption certificate from Vendor X. Vendor X wants the money due to him to be paid to Mr.Y on his account. Will Nil rate of TDS will be attracted for making payment to Mr.Y also.

Posts / Replies

[PALAKURTHY PRASHANTH prashanth]

yes, you neednot deduct any tax for payment to Mr.Y since you are only paying on behlaf of Mr.x

[PALAKURTHY PRASHANTH prashanth]

you need not deduct any tax since you are paying only on behalf of Mr.X

[Markesh Antony]

The amount paid to Y is only on behalf of X. Actual you are discharging your liability towards X by making payment to Y on his behalf. TDS is liable to be deducted on the expense of a particular nature. Therefore, no TDS is liable to be deducted.