Who is required to deduct TDS u/s 194EE?
Any person who pays an amount under section 80CCA(2)(a) i.e. National Savings Scheme to another person is required to deduct tax under this section.
What is the rate & time of tax deduction u/s 194EE?
The rate of tax deduction u/s 194EE is 10% and the time of deduction is when the payment is made.
What is the rate & time of tax deduction u/s 194H?
The rate of tax deduction u/s 194H is 5%. And the time of deduction is earlier of, the credit of income to the account of the payee (receiver) or actual payment (in cash, cheque, draft or other modes).
No Requirement of TDS :
- When the amount paid (at once or total during the financial year) to the payee (i.e. the receiver) is less than ?2500.
- No deduction when the amount is given to the heirs of the assessee.
