TDS Policy - Skillwin Technology Private Limited (w.e.f April 1, 2023)

TDS at 30% is applicable on net winnings in the user account at the end of the Financial Year (“FY”).
The period starting April 1 to March 31 of the following year is considered an FY.
At the time of withdrawal, TDS will be deducted from net winnings comprised in such withdrawal.
TDS is also applicable at the end of the financial year on closing the year-end account balance by deeming it a withdrawal amount. After deducting TDS on the closing year-end balance (as per policy), the closing balance amount (i.e. Year end amount - TDS deducted ) will be carried forward to the next financial year as the opening balance. Carried forward balance will be considered as a deposit for next year and TDS would not be applicable to that amount
Effective 1st April 2023, Net winnings will be calculated as follows:
1. Net Winnings = Total Withdrawals during the FY (-) Total Deposits during the FY (including user account balance at the beginning of the FY).
You will be required to furnish your Permanent Account Number (PAN) duly issued to you by the Income Tax authorities if you have not already done so.
Please note that the TDS Policy is based on the understanding of the provisions introduced/ amended by the Finance Act, 2023. The Company reserves its right to modify/ change/ amend the TDS Policy basis law applicable at the relevant time.

Example 1 - At the time of first withdrawal during the FY	Amount (INR)
Opening Balance as on April 1, 2023 (A)	1,000
Total Amount Deposited at the time of withdrawal (B)	10,000
In the above situation, if a user withdraws INR 11,000 (C)
Net Winnings comprised in the withdrawal (C-B-A)	0
TDS @30%	0
Amount credited to the user’s bank	11,000

Example 2 - At the time of subsequent withdrawals during the FY	Amount (INR)
Opening Balance as on April 1, 2023 (A)	1,000
Total Amount Deposited at the time of withdrawal (B)	22,000
Total Withdrawals at the the time of withdrawal request (C)	11,000
In the above situation, if a user withdraws INR 14,000 (D)
Net Winnings comprised in the withdrawal (D+C-B-A)	2,000
TDS @30% on Net winnings	600
Amount credited to the user’s bank	13,400

Example 3 - At the time of subsequent withdrawals during the FY	Amount (INR)
Opening Balance as on April 1, 2023 (A)	1,000
Total Amount Deposited at the time of withdrawal (B)	34,000
Total Withdrawals at the the time of withdrawal request (C)	25,000
In the above situation, if a user withdraws INR 16,000 (D)
Net Winnings comprised in the withdrawal (D+C-B-A)	6,000
Net Winnings on which tax has already been paid (refer Example 2)	2,000
TDS @30% on Net winnings (6000-2000)	1,200
Amount credited to the user’s bank	14,800

Example 4 - At the end of the FY (on March 31)	Scenario 1 Amount (INR)	Scenario 2 Amount (INR)
Opening Balance as on April 1, 2023 (A)	1,000	1,000
Total Amount Deposited in the FY (B)	34,000	60,000
Total Withdrawals in the FY (C)	41,000	41,000
Year End User Balance (D)	5,000	5,000
Net Winnings for the FY (D+C-B-A)	11,000	-15,000
TDS @30% on Net winnings for the FY	3,300	0
Total TDS already deducted during the FY	1,800	1,800
TDS to be deducted at the end of FY	1,500	0
Year end balance after TDS to be C/F to next FY as deposit	3,500	5,000