applicability of tds

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shiva ramanjeneyulu (Querist)
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25 May 2011 sir,madam

i was doing a mutual fund audit,in which the distributor would receive brokerage monthly for his work done in that month

my query is that whether there is any specific provision that distributors will not be considered under TDS applicability

my contention is that tds will be applicable for the distributors also

Please resolve this query

PARDEEP KUMAR AGGARWAL

PARDEEP KUMAR AGGARWAL (Expert)
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27 May 2011 u/s 194H, if brokerage amount is exceeding Rs 5000/-, it will attract TDS @ 10% and there is no provision of escapement of this in Income Tax Act.