Deducted by Whom:-
- a banking company to which the Banking Regulation Act, 1949 is applied; or
- a co-operative society engaged in carrying on the business of banking; or
- a post office,
who is responsible for paying any sum, being the amount or the aggregate of amounts, as the case may be, in Cash exceeding One Crore Rupees during the previous year, to any person (herein referred to as the recipient) from one or more accounts maintained by the recipient with it shall, at the time of payment of such sum.
Rate of TDS:-
Amount equal to 2% of such sum.
Provided that,
in case of a recipient who has not filed the returns of income for all of the three assessment years relevant to the for which the time limit of file return of income under section 139(1) has expired, immediately preceding the previous year in which the payment of the sum is made to him, the provision of this section shall apply with the modification that—, the deduction shall be:-
| S.N. | Particulars | Rate of TDS |
| 1. | The sum where the amount or aggregate of amounts, as the case may be, being paid in cash exceeds 20 lakh rupees during the previous year but does not exceed 1 crore rupees; or | 2% |
| 2. | The sum where the amount or aggregate of amounts, as the case may be, being paid in cash exceeds 1 crore rupees during the previous year | 5% |