TDS u/c 194 I Query

payment to deputy collector for rent? 

please repost your query with correct details.

Ours is a PSU and catering to the needs of small scale units and providing them subsidy in exhibitions. Deputy Collectorate office has organised the exhibition in their city and we sponsered our
units to participate in the exhibition by taking stalls. We have to pay Stall rent  to deputy collectorate office on behalf of our SSI units.

 Now the Deputy Collectorate office has raised an invoice for payment of Stall rent to us. I generally make payment to other exhibitors on production of PAN card and after deduction of TDS u/s 194I @ 10%.\

Hope the information will suffice  now

i assume its land revenue, not the rent ...........

on revenue  no provision of TDS

Study the case properly yar.... I told you that i have been making payment after deduction u/s 194-I. Its a exhibition organised by the district collectorate office. Its a stall rent and deduction should be made u/s 194 I. Its not a land revenue.

in case of absence of any such exemption you have to deduct @ 20% 

Sharmaji Education Cess is not applicable while deducting TDS u/s 194 I.

hi rakesh sir,

There is no requirement to deduct income tax at source on income by way of rent if the payee is the Govt, but in the case of the local authorities and statutory authorities referred to in section 10(20A)/10(20), there is no requirement to deduct income tax at source if these authorities produce the tax exempt certificate, otherwise normal provision of income tax at source will be applicable on such authorities.

Circular no. 699, dated january 30, 1995.

Sir then you have to decicde the payee falls under which category.