New Delhi: The Income Tax (I-T) Department has launched a new tool to determine TDS (tax deducted at source) on cash withdrawals.
The tool is meant to be used only by banks and other financial institutions to calculate TDS applicable for a recipient under Section 194N of the income tax act.
The tool is available on the IT department’s e-filing portal.
Financial institutions can click on 'Verification of applicability u/s 194N' under the 'Quick Links' menu on the department's e-filing portal to access the tool and calculate TDS for a recipient.
"A functionality to determine TDS rate u/s 194N has been enabled in e-Filing portal for Banks, co-operative society and post office", reads the description.
A user can go to the link and type in their PAN (Permanent Account Number) and mobile number to access the same. An OTP will be shared on the mobile number for verification. Banks, post offices and cooperative societies can then proceed to calculate the TDS applicable for an individual.
Asianet.in/News Desk: Asianet Online