Section 194C

Tax Deducted at Source u/s 194C on payment to Contractors

Income Tax - Section 194 of Income Tax Act, 1961 is pertaining to Tax Deducted at Source of various payments, like salary, interest, winning from lottery or cross word puzzle or card games or other games, horse race, insurance commission, commission or brokerage, rent, fees for professional or technical services, royalty, payment of certain amount in ...

Read More

TDS Rate Chart for FY 2022-23 / AY 2023-24 – Updated

Income Tax - Income Tax TDS Rate Chart for for Financial Year (FY) 2022-23 / Assessment Year (AY) 2023-24 The term ‘TDS’ refers to ‘Tax Deduction at source’. It is a mechanism wherein a person responsible to pay a sum of specified nature shall deduct an amount towards TDS and pay it to the credit of Central Government. […]...

Read More

Whether contractors liable to deduct TDS In absence of a written sub-contract?

Income Tax -  In absence of a written sub-contract: whether contractors liable to deduct TDS?  In general practice the person who generates income is under an obligation to file its return and/or to pay tax under Income Tax Act, 1961 (for brevity hereinafter referred to as “IT Act”). But in certain enumerated situations, the payer of such consid...

Read More

Payment to advertising agency attracts TDS under Section 194C

Income Tax - It is held that, TDS has to be deducted u/s 194C of Income Tax Act, 1961 (the IT Act) on payment made to advertising agency even if there is no written contract....

Read More

Section 194C TDS on Payment to Contractor

Income Tax - 1) Who is responsible to deduct tax under Section 194C of Income Tax Act, 1961? Any specified person responsible for paying any sum to any resident-contractor for carrying out any work (including supply of labour for carrying out any work) in pursuance of a contract. Following are the specified persons – a. The Central Government [&hell...

Read More

Section 194C-: TDS on auto rickshaws and/or buses used for transportation of goods

Income Tax - Section 194C(6) provides exemption to small good carriage contractor/transporter (owning not more than 10 goods carriage at any time during the previous year) on furnishing of PAN along with the declaration to that effect to deductor from TDS....

Read More

SC asked Samsung to reply why it is not liable to deduct tax in respect of goods outsourced for manufacturing

Income Tax - The Supreme Court has sought a reply from Samsung India Electronics on the I-T department plea that the firm is liable to deduct tax in respect of goods outsourced for manufacturing. The issue has been raised by the income-tax department saying that consumer electronics and home appliances manufacturer Samsung India Electronics Ltd is li...

Read More

CBDT Expand Definition of Professionals

Income Tax - The Central Board of Direct Taxes (CBDT) expanded the scope of professional services to cover sportspersons, umpires and referees, making them liable for a higher tax deduction at source (TDS) at the rate of 10% against 1-2%. ...

Read More

Section 194I TDS not applicable on AC maintenance, housekeeping, security & common area maintenance charges

Kamal Jafferali Wadhwania Vs ITO (ITAT Mumbai) - Kamal Jafferali Wadhwania Vs ITO (ITAT Mumbai) Section 194I is applicable only in case of rent may be on plant and machinery (@ the rate of 2%) and for the use any land or building or land appurtenant to a building. In this case assessee is paying a rent/lease charges for the office premises which [...

Read More

Disallowance of freight & carriage expense justified for non-submission of TDS payment Proof or CA certificate

Paras Nath Singh Vs ACIT (ITAT Patna) - Paras Nath Singh Vs ACIT (ITAT Patna) Main grievance of the assessee is disallowance u/s 40(a)(ia) amounting to Rs. 25,74,023/- being the expenditure incurred in respect of freight and carriage. On this specific issue from the perusal of assessment order passed by the AO and it was come to our notic...

Read More

Section 194C(6) & (7) cannot be read together to attract section 40(a)(ia) disallowance

Shri Gopinathan Vs The ITO (ITAT Chennai) - Shri Gopinathan Vs ITO (ITAT Chennai) It is not the case of the Department that the Assessing Officer has omitted to consider the claim of expenses and thereby passed the rectification order under section 154 of the Act. In this case assessment was reopened under section 147 of the Act and during th...

Read More

OLA being an intermediary is not liable to deduct TDS on payment to drivers

ANI Technologies Private Limited Vs DCIT (TDS) (ITAT Chandigarh) - ITAT Chandigarh held that the aggregator/ intermediary (OLA) acts merely as an intermediary and hence not liable to deduct TDS u/s 194C on payments made to drivers....

Read More

No Section 194C TDS on payments to agents of foreign shipping companies

DCIT Vs Expeditors International [I] Pvt. Ltd. (ITAT Delhi) - Circular No. 723 dated 19.09.1995 - Section 172 applies to payments made to agents of foreign shipping companies so, section 194C not applies...

Read More

TDS on payments for procuring or canvassing for advertisements

Circular No. 05/2016- Income Tax - (29/02/2016) - Law Related to Tax Deduction at Source (TDS) on payments by television channels and publishing houses to advertisement companies for procuring or canvassing for advertisements....

Read More

TDS on payments for production of content or programme for telecasting

Circular No. 04/2016- Income Tax - (29/02/2016) - Law Relating to Tax Deduction at Source (TDS) on payments by broadcasters or television channels to production houses for production of content or programme for telecasting....

Read More

No TDS on transportation of gas if it is carried out in furtherance of contract for sale of gas- CBDT

Circular No. 9/2012-Income Tax - (17/10/2012) - Circular No. 9/2012 Representations have been received from various sections of the Industry on the difficulties faced in the matter of Tax Deduction at Source on Gas Transportation Charges paid by the purchasers of Natural gas to the sellers of gas....

Read More

Cooling Charges Paid are not covered U/s. 194I but are covered U/s. 194C

Circular No. 1/2008-Income Tax - (10/01/2008) - CIRCULAR NO. 1/2008-Income Tax Representations have been received from various quarters regarding applicability of the provisions of Section 194-I to cooling charges paid by the various customers to the owners of cold storages. It has been represented that the cold storage owners provide a composite...

Read More

Circular No. 715-Income Tax dated 8-8-1995

Circular No. 715-Income Tax - (08/08/1995) - Circular No. 715-Income Tax Clarifications on various provisions relating to tax deduction at source regarding changes introduced through Finance Act, 1995 The Finance Act, 1995, has enlarged the scope of income-tax deduction at source by making various amendments. In regard to the changes introdu...

Read More

Recent Posts in "Section 194C"

Section 194I TDS not applicable on AC maintenance, housekeeping, security & common area maintenance charges

Kamal Jafferali Wadhwania Vs ITO (ITAT Mumbai)

Kamal Jafferali Wadhwania Vs ITO (ITAT Mumbai) Section 194I is applicable only in case of rent may be on plant and machinery (@ the rate of 2%) and for the use any land or building or land appurtenant to a building. In this case assessee is paying a rent/lease charges for the office premises which […]...

Read More

Disallowance of freight & carriage expense justified for non-submission of TDS payment Proof or CA certificate

Paras Nath Singh Vs ACIT (ITAT Patna)

Paras Nath Singh Vs ACIT (ITAT Patna) Main grievance of the assessee is disallowance u/s 40(a)(ia) amounting to Rs. 25,74,023/- being the expenditure incurred in respect of freight and carriage. On this specific issue from the perusal of assessment order passed by the AO and it was come to our notice that he had categorically […]...

Read More

Section 194C(6) & (7) cannot be read together to attract section 40(a)(ia) disallowance

Shri Gopinathan Vs The ITO (ITAT Chennai)

Shri Gopinathan Vs ITO (ITAT Chennai) It is not the case of the Department that the Assessing Officer has omitted to consider the claim of expenses and thereby passed the rectification order under section 154 of the Act. In this case assessment was reopened under section 147 of the Act and during the course of […]...

Read More

Tax Deducted at Source u/s 194C on payment to Contractors

Section 194 of Income Tax Act, 1961 is pertaining to Tax Deducted at Source of various payments, like salary, interest, winning from lottery or cross word puzzle or card games or other games, horse race, insurance commission, commission or brokerage, rent, fees for professional or technical services, royalty, payment of certain amount in ...

Read More
Posted Under: Income Tax |

OLA being an intermediary is not liable to deduct TDS on payment to drivers

ANI Technologies Private Limited Vs DCIT (TDS) (ITAT Chandigarh)

ITAT Chandigarh held that the aggregator/ intermediary (OLA) acts merely as an intermediary and hence not liable to deduct TDS u/s 194C on payments made to drivers....

Read More

No Section 194C TDS on payments to agents of foreign shipping companies

DCIT Vs Expeditors International [I] Pvt. Ltd. (ITAT Delhi)

Circular No. 723 dated 19.09.1995 - Section 172 applies to payments made to agents of foreign shipping companies so, section 194C not applies...

Read More

Section 194C TDS on payment for preparation & execution of advertisement content

Cowtown Software Design Pvt. Ltd. Vs DCIT (TDS) (ITAT Mumbai)

Cowtown Software Design Pvt. Ltd. Vs DCIT (TDS) (ITAT Mumbai) It is not in dispute that assessee made payment to Ad agency i.e. Social Kinnect. We find from the perusal of the agreement with Social Kinnect and scope of services defined therein, Social Kinnect would engage various professional artists for preparation and execution of the [...

Read More

TDS not deductible on payment for usage of rights for internet/ telecom facility

RBS Business Services Pvt. Ltd. Vs DCIT (TDS) (ITAT Delhi)

Held that payment made for usage of rights for the internet and telecom facility doesn’t fall in the nature of work defined u/s 194C and hence TDS not deductible....

Read More

TDS on repairs & maintenance of aircraft under Section 194C or 194J?

Air India Ltd. Vs CIT (ITAT Mumbai)

Air India Ltd. Vs CIT (ITAT Mumbai) Introduction Appeals were filed before the Hon’ble ITAT against the order of the AIR INDIA LIMITED Vs Ld. Commissioner of Income Tax (Appeals), NFAC, Delhi which was pertaining to the assessment years 2016-17, 2017-18,2018-19 and 2019-20. Grounds of appeal The decision of the Joint Commissioner of Inc...

Read More

Filing of declaration from lorry owner Lorry applicable from 01.06.2015 – Section 194(6)

Shesh Dhar Chaube Vs ITO (ITAT Delhi)

Shesh Dhar Chaube Vs ITO (ITAT Delhi) AO alleged that assessee has not filed any declaration from the lorry owner with regard to the number of vehicles owned by them. In this regard sub-section (6) of Section 194C is relevant which provide for the condition as to providing such declaration from the lorry owners. It […]...

Read More

Browse All Categories

CA, CS, CMA (6,180)
Company Law (8,632)
Corporate Law (10,966)
Custom Duty (9,597)
DGFT (4,888)
Excise Duty (4,932)
Fema / RBI (5,349)
Finance (5,765)
Income Tax (43,214)
SEBI (4,665)
Service Tax (4,095)