New Enroll in our GIC Finance Online Course Here!

    Register

    Question

    From 1st April 2010, non-furnishing of PAN to the

    deductors results in TDS at much higher rate of ________ or even more.
    A 25% Correct Answer Incorrect Answer
    B 10% Correct Answer Incorrect Answer
    C 15% Correct Answer Incorrect Answer
    D 20% Correct Answer Incorrect Answer

    Solution

    Non-furnishing of PAN (Permanent Account Number) to the deductors in India results in TDS (Tax Deducted at Source) at a much higher rate of 20% or even more. It is essential for taxpayers to provide their PAN to deductors to ensure proper TDS deductions at the applicable rates. If the PAN is not furnished or provided, the deductor is required to apply a higher TDS rate, and this is to discourage the practice of not disclosing PAN for tax transactions.

    Practice Next