one of our client has taken photostat machine on rental basis from photostat shop, kept at place of client. the only consideration being paid is in the form of a fixed charge, say 0.25 piase per copy for photostat and the material being paper sheets is being fed in the macine by the client. my question is
1) does this attract tds under 194I as rent for equipments or u/s 194C as tds on contract.
2) if we fall in definition of rent u/s 194I, then if our liabilty does not arise due to payment does not exceeding 120000, then are we covered u/s 194C as residual section or there does not arise any tds liabilty in that case.
CAclubindia
