07 May 2016
we are giving rent Rs.5 lacs to company for use of plant & machinery including Factory building whether TDS rate ,apllicable @ 2% on whole amount means plant & machinery including factory building plant & machinery is immovable i request to the company to bifurcate the rent for use plant & machinery & Factory building & deduct the TDS @ 2% on plant & machinery & 10% on factory building
whether this is right, support with some related isues
07 May 2016
Yes you are right Company have to bifurcate by as you said as 2% for rent of Plant & Machinery and 10% for rent of factory building rent u/s 194I
08 May 2016
If the company does not provide the bifurcation then you have to deduct TDS @ 10%. If bifurcation is provided then you can deduct TDS at 10% and 2% respectively.
CAclubindia
