Hello friends, how are you?
I hope you are doing well.
We were covering the topic of TDS.
This is a new video.
In this video, we will discuss two sections together.
These are small sections.
Please support me.
Section 193, first of all.
Section 193.
Interest on Securities.
Sir, what is interest on securities?
What are securities?
We are discussing the interest on securities.
What will be the TDS on that?
What will be the rate?
We are discussing that.
But for that, it is important to know what will be covered
in securities.
Have you ever heard of securities?
Security.
Not that kind of security.
I am not talking about that kind of security.
Normal securities.
What is the meaning of security?
You have taken some bonds.
Government bonds.
You have taken them.
Okay.
These are securities.
You have some bonds.
You may have some debentures.
Okay.
You may have some development papers.
As they say, farmer development papers.
You have invested in some government schemes.
You have some bonds.
You have some securities.
You have some holdings.
What is the common thing here?
The common thing here is that all these things give you a
fixed percentage of annual interest.
People say that I want to retire.
I will invest so much money in a place where I get
something monthly or annually.
These are the same things.
They give you annual interest.
7%, 6%, 8%, 9%, 12%, 11%.
It fluctuates depending upon how risky the coin is.
Now, you get interest from here.
Sir, what is this interest?
It is your income.
You should deduct income tax on this.
Logically, you will deposit next year.
But, we are talking about TDS.
The interest you get will be deducted.
You will get this interest deducted.
The amount of interest that will be deducted will be
deposited on your behalf in your income tax account.
On your behalf, it will be deposited in your income tax
account.
Tomorrow, when you calculate your annual income, you will
deduct the amount of tax that you got as income tax.
At what rate will you deduct it?
Has the government fixed a rate of 10%?
The government has fixed a rate of 10% on interest on
securities.
How has it been fixed?
What is it? When should it be deducted?
Should it be deducted on payment or how?
We were talking about salary and PF withdrawal.
On that, it was on payment.
But on this, it is not on payment.
The government has played a trick on this.
Either on payment or when you pass the credit entry in your
ledgers, whichever is earlier.
Don't give a chance to the receiver.
Either on payment, deduct it on payment.
If you are passing the credit entry earlier, then pass it
on the credit entry time.
Cut the TDS on that time.
Don't give a chance to the receiver to say that
I am not cutting my TDS.
I will go and deposit the tax next year.
Payment or credit entry, whichever is earlier.
This is the point.
Yes, but there can be such circumstances that when the
government, like in our country, the government also makes
investments.
Like LIC.
The body of LIC also makes investments.
Now assume that LIC has deposited money in some development
fund or LIC has bought some bonds.
Then will the TDS of LIC also be deducted?
Will the TDS of the general insurance company also be
deducted in that case?
Sir, in that case, the government will never deduct its own
TDS.
It is a frank thing.
The government knows how to hit, but not how to bear.
The government says that if we are receiving interest from
someone, don't deduct TDS on us.
We will not run away.
We are not winners.
No one will deduct our TDS.
If something is received by LIC, if something is received
by our general insurance company, then no TDS provisions
will be applicable on us.
Yes, if something is received by a normal person if
something is received by a normal person, some interest on
securities, then 10% of TDS will be deducted.
Sir, come, there will be some more discussion.
It will be covered in the reading.
Come.
What does section 193 say?
Section 193 is its name, its number,
Interest on Securities.
This section casts responsibility on every person
responsible for paying to any resident any income by way of
interest on securities.
Interest on securities, what does it mean by any person?
Company, individual, HUF, firm, anyone, if someone takes
interest on securities, then TDS will have to be deducted.
And not by deducting, but by depositing it.
On the behalf of the person for whom you are deducting TDS.
What will be the rate? 10% rate.
What is the time of deduction?
At the time of credit of such income, to the account of the
payee, or at the time of payment, whichever is earlier.
Don't give a chance to that person to escape.
Either pass the journal entry, or deduct it then.
Before that, if you are paying, deduct it at the time of
payment.
Whichever is earlier.
Whatever is the first occasion.
But this is not applicable on which securities?
If you receive any interest from them, then no TDS will be
deducted on you.
These are some national saving certificates of 7 years.
You have bought them as an investment.
If you get any interest from them, then you will get full
interest.
No TDS will be deducted from that interest.
Sir, why is this?
Why are these things happening?
Why are such discrepancies happening in our country?
These discrepancies are happening because the government is
motivating you.
It is giving you greed.
Right now, not many people are investing money in these.
So, they give you a lollipop.
They give you a lollipop.
Son, take this lollipop.
We will not deduct your TDS.
Whatever is your interest, take it.
Next year, pay the income tax on it.
This is the lollipop.
It is so less like the interest.
What will a person do?
What will I do in the investment?
There is a central government's security.
There is a state government's security.
No TDS will be deducted from that.
There are debentures.
There is LIC, GIC.
There are subsidiaries of general insurance.
Even if they buy something, no TDS will be deducted from
them.
Sir, this was your point.
Section 193 said this.
I will stop this video here.
In the next video, a new topic will be covered.