07 March 2011
Whether TDS is deductible on lease premium paid to the developmental authority (CIDCO) for leased land for 60 years.
Background: Lease premium is paid on subscribing to the tender plot(land) by the CIDCO. Then on the same plot, building is built and subsequently flats are sold individually.
08 March 2011
lease premium is non refundable and is being treated as income and considered for tax purpose, hence tds should be duducted on payment sec 194I as per the same provision.
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