Section 194R

In Finance Act, 2022 new section 194R inserted for deduction of tax at source on benefit or perquisite in respect of business or profession....

Tax will now be deducted under section 194R on free sample, foreign trips, gifts. Doctors and others will be affected....

This Article covers a few challenging aspects of Section 194R apart from the ‘HENRY VIII Clause’ approach being adopted by the tax department in the recent years, among others....

The Finance Bill 2022 has proposed two completely new TDS sections, 194R and 194S, in the Income Tax Act, to be made effective from 1.7.2022. Looking at the swift pace, with which the new TDS sections, are being inserted by the Legislature, year after year, in Chapter XVIIB of the Income Tax Act, 1961, it […]...

Applicability of Section 194R of Income tax Act 1961, is it Double Taxation / Entry of Fringe Benefit Tax (FBT) from the back door / Collection of Additional Revenue or is it the ‘Ease of doing business? Section 194R of Income tax Act 1961 Any person responsible for providing to a resident, any benefit or […]...

Any person being Individual/HUF/Company/Firm/LLP etc. providing any benefit or perquisite whether convertible into money or not, is liable w.e.f. 1-7-2022 to deduct TDS U/s 194R @ 10% on the value or aggregate value of such benefit or perquisite....

Section 194R TDS on providing benefits or perquisites Hello professionals, So a new section is introduced i.e. section 194R, so let’s decode this section by a simple Q&A. Question-1: Who is responsible to deduct TDS u/s 194R? Answer-Any person who provides any benefit or perquisite to a resident where value or aggregate value of suc...

Section 194R- Crux of Deduction of Tax On Benefit or Perquisite In Respect of Business or Profession MY OPINIONS ON 194R- DEDUCTION OF TAX ON BENEFIT OR PERQUISITE IN RESPECT OF BUSINESS OR PROFESSION: 1. Applicability: Any person includes all types of Assessee. 2. Rate of Tax: 10% of the Value or aggregate of value […]...

Central Board of Direct Taxes (CBDT) has issued circular No.12 of 2022 dated 16 June 2022. In this circular the CBDT has given guidelines to regulate the implementation of TDS provisions of new section 194R with respect to the amount of benefits or perquisites arising to any resident from the business or exercise of profession. Clause [&...

Vide Budget 2022, the Government has introduced Section 194R in the Income Tax Act,1961 (ITA) obligating the deduction of tax on ‘benefits/perquisites whether convertible into money or not, arising from business or of a profession’  if the aggregate value of benefit/perquisite exceeds twenty thousand rupees in a financial yea...