Kamaljeet Singh – Mumbai Uncensored, 22th June 2022
On July 1, the tax-deductible At Source (TDS) will involve the advantage companies welcome to promote sales, social media influencers, and physicians. The Central Direct Tax Commission (CBDT) has published directions on the applicability of the new provisions.
Social media influencers are required to pay a 10% TDS if the product given to promote is held by the influencer. If you return the device to the company after work is complete, TDS will not apply to the product.
“Whether this (a product offered for social media promotion) is beneficial or accidental depends on the facts of the case. If the benefit or benefit is a product such as a car, mobile phone, costume, cosmetics, etc., used for the purpose of providing the service, and then returned to the manufacturer, it will not be treated as a benefit. Or benefit for the purposes of Section 194R (TDS Rule) of the Law, “CBDT said.
Co-Treasurer Kamresh C. Burshney explained the benefits of free drug samples for doctors, international flights, and free Indian Premier League (IPL) tickets for transactions.
He highlighted that these items will not be sold and should not be disclosed and hidden when filing an income tax return.
Section 194R applies to sellers who offer cash or all kinds of incentives such as cars, computers, gold coins, mobile phones, etc. in addition to discounts.
CBDT clarifies that Section 194R applies to the distribution of free samples to hospitals for doctors who receive free samples of medicines while employed in ṣthe hospital. As an employer, the hospital can treat such a sample as a taxable employee benefit and deduct the tax in Section 192. In such cases, a point of 20,000 will be pictured across from the hospital.
For doctors operating as hospital consultants who receive free samples, TDS ideally involves the hospital first and then requires a section tax deduction. 194R related to a self-subsistent doctor.
