TDS on rent charged by hotel

This query is : Resolved

Babita Agarwal (Querist)
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24 June 2008 Whether TDS should be deducted under section 194 C or 194 I in respect of hotel room rent.

Fact :A partnership firm is engaged in the making a movee and some actress stay in hotel on behalf of partnership firm(not on regular basis) for different period and there is no agreement between hotel and partnership firm.

Shekar

Shekar (Expert)
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24 June 2008 TDS to be deducted u/s 194I

Azmathullah Khan

Azmathullah Khan (Expert)
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24 June 2008 If there is any contract with the hotel management the TDS u/s. 194C applicable,

or using the same room every time or the room rent for the same room exceed taxable rent then TDS u/s. 194I is applicable.

Otherwise No need to deduct any TDS for hotel rooms or my suggestion is not to deduct TDS on room rent for hotel.

Pls confirm my queries.

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Azmathullah Khan

Azmathullah Khan (Expert)
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25 June 2008 No TDS to be deducted confirm