TDS on Subscription of online access of Database

CA Aspirant (CA) (194 Points)

19 December 2024  
Company is paying 1,09,000 for Subscripttion for online access of Database and is deducting TDS under section 194O @ 1%, in my opinion should deduct under section 194C both reasons are there first the 5 lakh limit of 194O and it is like contract for annual usage, am I write??