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Sale of Enegy

Deepak Tapse (Accounts Manager - Taxation) (1771 Points)

08 May 2009

Dear Sir,

Pl inform me whether TDS is applicable when we sale Energy (Windmill) to MSEDCL.

Thanks

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3 Replies

S.Anantharaghavan (Manager- Direct Taxation) (37 Points)
Replied 08 May 2009

Dear deepak,

according to section 196 no TDS be deducted on any amount paid or payable to

1. the government

2. the RBI

3. a corporation established by or under a central act which is under any law for the time being in force, is exempt from income tax on its income

4. Mutual fund specified under section 23 D of section 10

Hence no TDS to be deducted on money payable to Maharashtra state electricity development authority

CA. Narendra Kumar (ACA ...ACS) (81 Points)
Replied 08 May 2009

Dear all.

ya. i agree no tds has to be diducted on such transactions.

thanks

Deepak Tapse (Accounts Manager - Taxation) (1771 Points)
Replied 08 May 2009

Originally posted by :S.Anantharaghavan
"	Dear deepak, according to section 196 no TDS be deducted on any amount paid or payable to 1. the government 2. the RBI 3. a corporation established by or under a central act which is under any law for the time being in force, is exempt from income tax on its income 4. Mutual fund specified under section 23 D of section 10 Hence no TDS to be deducted on money payable to Maharashtra state electricity development authority	"

Dear Sir

Thanks for your reply, my querry is we have set up the windmill and selling power to MSEDCL and they are paying to us. Whether TDS/TCS applicable either

Thanks