Tax deducted at source
This query is : Resolved
15 May 2009
Hi All
Under what head, TDS on payment towards exhibition stall to be deducted? is it under TDS on contractors 194C? or 194I - TDS on Rent?
Under what head, TDS on payment towards exhibition stall to be deducted? is it under TDS on contractors 194C? or 194I - TDS on Rent?
18 May 2009
Under Sec 194 C @ 2.266%
18 May 2009
But where it is provided
26 July 2025
Hey! For TDS on payment towards **exhibition stall**, here’s the usual treatment:
* If you are **paying for renting the stall space** (i.e., rent for using the stall), then **Section 194-I (TDS on Rent)** applies.
* If you are paying for **services related to setting up, decoration, or services by the contractor for the stall**, then **Section 194-C (TDS on Contractors)** applies.
---
### In your case:
* Most exhibition stall payments are considered **rent of immovable property** (even if temporary), so **Section 194-I** is generally applicable.
* The rate for TDS under **194-I for rent of plant or machinery or furniture** is 2%, but for other rents (like land or building), it is 10% (if threshold exceeded).
* Exhibition stalls are typically treated as rent of space (property), so **194-I is appropriate**.
---
### Where is this provided?
* The Income Tax Act, Section 194-I covers TDS on rent.
* Various CBDT circulars clarify that renting space for exhibitions falls under this.
* In practice, many tax professionals refer to the **TDS manuals and notifications** issued by the Income Tax Department.
---
### Summary:
* For **stall rent**, deduct TDS under **Section 194-I (TDS on Rent)**.
* For **service contracts related to stall setup**, deduct under **Section 194-C (TDS on Contractors)**.
---
If you want, I can help you with the exact TDS rates and thresholds or give you example entries.
* If you are **paying for renting the stall space** (i.e., rent for using the stall), then **Section 194-I (TDS on Rent)** applies.
* If you are paying for **services related to setting up, decoration, or services by the contractor for the stall**, then **Section 194-C (TDS on Contractors)** applies.
---
### In your case:
* Most exhibition stall payments are considered **rent of immovable property** (even if temporary), so **Section 194-I** is generally applicable.
* The rate for TDS under **194-I for rent of plant or machinery or furniture** is 2%, but for other rents (like land or building), it is 10% (if threshold exceeded).
* Exhibition stalls are typically treated as rent of space (property), so **194-I is appropriate**.
---
### Where is this provided?
* The Income Tax Act, Section 194-I covers TDS on rent.
* Various CBDT circulars clarify that renting space for exhibitions falls under this.
* In practice, many tax professionals refer to the **TDS manuals and notifications** issued by the Income Tax Department.
---
### Summary:
* For **stall rent**, deduct TDS under **Section 194-I (TDS on Rent)**.
* For **service contracts related to stall setup**, deduct under **Section 194-C (TDS on Contractors)**.
---
If you want, I can help you with the exact TDS rates and thresholds or give you example entries.
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now
Click here to login now
Similar Resolved Queries
Unanswered Queries
- Difference between Date of Payment and Date of Deduction?
- TDS CREDIT MISMATCHING
- Buy back of shares u/s69
- Tax Audit Applicability – Newly Formed Partnership Firm with Profit Below 6%/8%
- Unregistered suppliers utility
- EXPORT COMMERCIAL INVOICE HSN CODE
- GST Rate for Catering Services
- ITDS U/S.194T of Firm
- TDS AND ITR ISSUE
- LIC maturity claim whether taxable
- RCM @ 5% on Hamali charges, Transport Charges, Unloading charges we take ITC or not
- CALCULATION OF DEFFERED TAX - OP BL IS DTL & CURRET IT DTA
- LLP audit under companies act
- Experienced CA recommendation from Kolkata for FNO return filing
- Interest Reporting in Form 168
- Sales of goods of amount Rs77 lakhs to a party
- Tax Demand of ₹4,650 for AY 2026-27
- Concept of Vendor and customner reconciliation
- Mistake in e-invoice identified after 24 hours
- EXPORT PAYMENT
Trending Online Classes
-
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English
CA Bhanwar Borana & CA Shubham Keswani
Subscribe to Pro
Join an elite circle of professionals
CAclubindia
