Tds on advertisment fees
This query is : Resolved
12 January 2013
if i paid some fees towards advertisement to FICCI then can i deduct tds on same. or not?
CA Rahul Gupta
(Expert)
12 January 2013
No TDS will be deducted in this case because you have paid towards advertisement to FICCI i.e.Govt. Organization. you can recd.a copy of TDS exempt certificate from FICCI.
15 January 2013
but i think FICCI is a NPO not a government organisation and when i made a call at FICCI they said me that right now they are not availing the exemption of TDS so they said if you are going to make a payment towards FICCI you should deduct TDS.
27 July 2025
You’re right to question that — FICCI (Federation of Indian Chambers of Commerce & Industry) is indeed a **non-profit organization (NPO)** and **not a government body**.
### Here’s how it stands on TDS for payments to FICCI for advertisement fees:
* **Section 194C** or **194J** applies on payments for services including advertisement.
* FICCI **may or may not have exemption from TDS**, depending on whether they have obtained a certificate under Section 196 of the Income Tax Act exempting them from TDS.
* If **FICCI does NOT have such exemption certificate**, then you **must deduct TDS** while making payment.
* The rate will depend on the nature of the payment:
* If it's **advertisement services**, **Section 194C @1%** usually applies.
* If it's **professional services (like consultancy or event organization)**, then **Section 194J @10%** applies.
* Since FICCI told you they are not availing TDS exemption, **you should deduct TDS** accordingly.
---
### What should you do?
1. **Request a declaration or TDS exemption certificate from FICCI** (if they have any).
2. If no exemption, **deduct TDS at applicable rate and deposit it**.
3. Provide TDS certificate to FICCI for their records.
---
**In short:**
**Yes, you should deduct TDS on payment to FICCI for advertisement fees if they do not have exemption.**
---
If you want, I can help draft a mail or a clarification letter for your accounts team. Want me to do that?
### Here’s how it stands on TDS for payments to FICCI for advertisement fees:
* **Section 194C** or **194J** applies on payments for services including advertisement.
* FICCI **may or may not have exemption from TDS**, depending on whether they have obtained a certificate under Section 196 of the Income Tax Act exempting them from TDS.
* If **FICCI does NOT have such exemption certificate**, then you **must deduct TDS** while making payment.
* The rate will depend on the nature of the payment:
* If it's **advertisement services**, **Section 194C @1%** usually applies.
* If it's **professional services (like consultancy or event organization)**, then **Section 194J @10%** applies.
* Since FICCI told you they are not availing TDS exemption, **you should deduct TDS** accordingly.
---
### What should you do?
1. **Request a declaration or TDS exemption certificate from FICCI** (if they have any).
2. If no exemption, **deduct TDS at applicable rate and deposit it**.
3. Provide TDS certificate to FICCI for their records.
---
**In short:**
**Yes, you should deduct TDS on payment to FICCI for advertisement fees if they do not have exemption.**
---
If you want, I can help draft a mail or a clarification letter for your accounts team. Want me to do that?
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
- WRONG GSTR7 ENTRIES ACCEPTED ERRONEOUSLY
- Expert Help Required for TDS Refund 100000 Through TRACES – AY 2022–23
- IMPORT PURCHASE ENTRY PASSED IN BOOKS OF ACCOUNT
- FAST DS 26 Undisclosed Foreign Asset Disclosure Scheme 2026
- Regime change
- Tally: Imported bank entries do not show up in manual reconciliation
- Sales of goods of amount Rs97 lakhs to a party
- Confused About My Career After 12th — Cyber Security, AI or Finance? Need Guidance
- FAST-DS 2026 Under Tax Law - No recourse or support for person declaring via this scheme?
- Guidance Needed: Linking Multiple Form 26QB Payments and Responding to ITD Defaulter Notice
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
