In the realm of tax documentation and compliance, the 501B form plays a pivotal role, especially within the construction and contracting industries. This form, officially titled the Certificate of Transfer of Tax Deduction at Source by the Contractor to the Subcontractor, serves as the legal documentation required under Sec 22 (4) and Rules 18 (1)(e), enabling the smooth transfer of tax obligations from a contractor to a subcontractor. Essential elements captured within this document include the tax office address, Taxpayer Identification Numbers (TINs) of both contractor and subcontractor, comprehensive details regarding the contract and subcontract such as dates, nature, and values of the orders, and specific tax deduction information. This form ensures that the precise amount deducted as tax at source by the contractee from the contractor's payment is accurately transferred and authorized for use by the subcontractor, promoting transparency and accountability in tax transactions. Moreover, it highlights the contractor's declaration that all provided particulars are true and correct, with an acknowledgment of potential liability for inaccuracies, thus underscoring the form’s significance in maintaining ethical tax practices. The requirement for this form underscores the broader commitment to tax compliance and illustrates the mechanisms in place to ensure that subcontractors are not unfairly burdened by or excluded from their tax obligations.
| Question | Answer |
|---|---|
| Form Name | 501B Form |
| Form Length | 2 pages |
| Fillable? | No |
| Fillable fields | 0 |
| Avg. time to fill out | 30 sec |
| Other names | subcontract, tax form for 501b, utilized, 501b |
FORM 501B
CERTIFICATE OF TRANSFER OF TAX DEDUCTION AT SOURCE BY THE CONTRACTOR
TO THE SUB CONTRACTOR.
(See Sec 22 (4) & Rules 18 (1)(e))
Date Month Year
01. Tax Office Address:....................................
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02. TIN of the Contractor:
I / We__________________________________ being the contractors certify that a sum
of Rs._________________ was deducted as tax at source by the contractee from the
amount payable to me. An amount of Rs.____________ out of tax deducted at source is
hereby authorized to be utilized by the sub contractor.
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Name and address of the sub contractor |
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TIN of the sub contractor |
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Name and address of the contractee/ |
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Employer |
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Name and address of the (main) contractor |
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a) Date of the Contract/ supply order |
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b) Nature of Contract/ Supply order |
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c) Full Value of Contract/Supply order |
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d) Amount paid as consideration. |
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e) Month and year in which the amount is |
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paid |
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d) Bill No./Voucher Cash Memo |
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g) Amount of tax deducted at source |
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h) Remittance Particulars |
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i) Unique No of 501/501A |
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07a) Date of the subcontract/supply order
b)Full Value of the subcontract/ Supply order
c)Amount being paid as consideration to the subcontractor
d)Amount of tax deducted at source being
transferred to subcontractor.
The particulars furnished above are true and correct. I / We shall be held responsible in case the tax deducted is not correct in any manner and I / We shall be liable for penal action as per the provisions of the APVAT Act
Signature of the contractor / person responsible for transfer of amount