26 May 2010
Sir i want to know what is diff. between warehouse rent & cold store rent is there any diff. in deduction of TDS ? if any in which section cold store rent comes & what is rate of TDS ?
26 May 2010
In the case warehouse, some particular space is taken fro a consideration. It being in the nature of Rent, Section 194I is attracted, rate being 15%.
On the other hand, in the case of cold storage, the payment is towards composite service cooling charge and preservation. Further no defined space is allocated. The relationship of landlord-tenant is absent. However, this being a service contract, Section 194C is attracted, rate being 1%(in case the deductee is indivisual/huf) and 2%(in any other case).
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