TDS for Purchases
This article is relevant only for Indian customers
If you are making payments in excess of Rs 30,000 in a tax year, the Indian Govt requires you to deduct TDS on payments. But, because Equip has a prepaid system and a payment gateway, TDS cannot be deducted at the time of making payments. You could do this instead:
Assume you are purchasing credits worth Rs 10,000
The TDS is 10% = Rs 1,000
On Equip, you make the purchase paying Rs 10,000 in full
You then remit Rs 1,000 on the government portal as TDS
Share Form 16A with us via email
We will issue a refund of Rs 1,000 or issue its equivalent in credits
If you are making a single purchase in excess of Rs 1,00,000 we can issue an invoice with NEFT details. You could then deduct the TDS and remit the remaining amount. It may take up to 2 business days after we receive the money for the credits to get reflected in your account. If you pay via the payment gateway, the new credits will reflect immediately.
TDS Requirements
If you are making payments in excess of Rs 30,000 in a tax year, the Indian Govt requires you to deduct TDS on payments. But, because Equip has a prepaid system and a payment gateway, TDS cannot be deducted at the time of making payments. You could do this instead:
Assume you are purchasing credits worth Rs 10,000
The TDS is 10% = Rs 1,000
On Equip, you make the purchase paying Rs 10,000 in full
You then remit Rs 1,000 on the government portal as TDS
Share Form 16A with us via email
We will issue a refund of Rs 1,000 or issue its equivalent in credits
If you are making a single purchase in excess of Rs 1,00,000 we can issue an invoice with NEFT details. You could then deduct the TDS and remit the remaining amount. It may take up to 2 business days after we receive the money for the credits to get reflected in your account. If you pay via the payment gateway, the new credits will reflect immediately.
Updated on: 04/12/2024
Thank you!