TDS

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

13 September 2010 Sir,
We have hiring a tractor on rent 1000/- per day please say payment of above is cover in which section and if it is cover in sec 194I than clear in which category it is cover.

CMA. CS. Sanjay Gupta

CMA. CS. Sanjay Gupta (Expert)
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13 September 2010 TDS to be deducted u/s 194C.
Rate:
Individual / HUF @1%
Others 2%
If PAN not given @ 20%.

CA. Aryendra

CA. Aryendra (Expert)
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13 September 2010 Dear Friend

The provisions of section 194C shall apply to all types of contracts for carrying out any work including, transport contracts, service contracts,(some professional & technical service contract covered in section 194J now) advertisement contracts, broadcast ing contracts, telecasting contracts, labour contracts, material contracts and works contracts.

"The provisions of section 194C would not apply in relation to payments made for hiring or renting of equipments, etc"

And it very cleast that Hiring of tractors is a case of non agricultural income. therefore, it will be fall in u/s 194 I

Individual / HUF

Please go through both the section for more clearity

CA. BIJENDER KR. BANSAL

CA. BIJENDER KR. BANSAL (Expert)
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13 September 2010 If you are using Tractor in business,
Then it will be covered u/s 194I.
as Rent for plant & machinery.

Tds will be deducted 2% if pan provided, otherwise 20%

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