10 April 2020
Sale and distribution of films now included under royalty and hence TDS would be applicable. But the rate( 2% or 10%) is not clear after the amendment to Finance act 2020. Please refer below
As per the Finanace Act 2020,
In section 194J of the Income-tax Act, in sub-section (1),–– (a) in the long line, for the words “ten per cent. of such sum”, the words and brackets “two per cent. of such sum in case of fees for technical services (not being a professional services, or royalty where such royalty is in the nature of consideration for sale, distribution or exhibition of cinematographic films and ten per cent. of such sum in other cases,” shall be substituted;
So TDS for sale and distrubtion of films is now 2% or 10%. Please clarify
10 April 2020
Fee for technical services or royalty where such royalty is in the nature of consideration for sale, distribution or exhibition of cinematographic films : TDS Rate 2% (w e f 01-04-2020)
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