Get 3 Yrs of CCI Pro Membership at Greater Value. Subscribe Now!

Is tds under 194H applicable if commission paid for personal property sale

Save Share

This query is : Resolved

Nikhil Sharma (Querist)

21 March 2026 Dear sir,
MR. A Is running proprietorship firm, audit is also being done u/s 44AB, Mr A have paid Rs. 150000 commission for selling his personal property.
Is tds u/s 194h attact? Provided commission paid on account of selling his personal property.

Thanks

Dhirajlal Rambhia

Dhirajlal Rambhia (Expert)

21 March 2026 Yes, TDS under Section 194H is likely applicable to the commission paid by Mr. A, even though it relates to a personal property. Unlike Section 194C (contractors) or Section 194J (professional fees), which explicitly exempt payments made by individuals for personal purposes, Section 194H does not contain a similar specific exemption for personal transactions. Once an individual is "covered" by the audit requirement (u/s 44AB), they generally must deduct TDS on all commission payments exceeding the threshold.

You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now