Is TDS u/s 194i applicable on stall fees payable to race club

TDS 981 views 2 replies

Praveen Kanumuri

Program Manager

33 Points Joined November 2009

Hi All,

I have a query regarding the below scenario:

Assessee is a registerd partnership firm and operates as a race bookie. As per agreement with the race club, they are paying the following expenses towardds the club and claiming as expenditure in their P&L

1 FIXED LICENSE FEE

2 AMENnITY FEES FIXED FOR EACH RACE DAY

3 SPONsER SHIP FEES

4 A)IN CASE OF MORNING RACES OR MORNING INTERVENUE BETTIN ON THE SAME DAY SEPERATE

STALL FEES WILLBE CHARGED.

Current query is

a. Whether TDS U/s 184I is applicable for amennities and Stall fees paid to the race club?

Also believe 194C is attacted on Fixed license fees

Please let me have your opinion

Thanks

Replies (2)

SUNIL

ACCOUTANT

167 Points Joined September 2007

TDS will be U/s 194 C

Guest

In India Tax deducted/Collected at source (TDS/TCS) forms a major portion of tax collection in India. The Income tax act lays responsibility upon the person making the payment to deduct tax and deposit it into government treasury within the time specified. Almost all the Corporate in India come under TDS/TCS net, requiring fulfillment of many responsibilities. The fulfillment of these responsibilities requires tedious work and labor.

Certificate for deduction at lower rate (Section 197)

Where tax is to be deducted at source u/s 192, 193,194,194A, 194C, 194D, 194G, 194H, 194I, 194J, 194K, 194LA & 195.

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