Tds on payment to model

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Querist : Anonymous

Querist : Anonymous (Querist)

31 October 2012 A garment selling organisation made payment to models for advertisement of their cloths.Advertisement agency is nowhere involved. Is Payment made to models for inhouse advertisements is liable for TDS deduction? If yes then under which Section?

srinivasan

srinivasan (Expert)
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31 October 2012 Yes. U/s 194J

Querist : Anonymous

Querist : Anonymous (Querist)

31 October 2012 Thanks...But can you please quote some reference to the same

Anand Modi

Anand Modi (Expert)
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31 October 2012 as a cricketer or a bollywood celeb advertize for a Brand in the same manner a model has advertized for your brand and hence TDS is required to be deducted u/s 194J

Querist : Anonymous

Querist : Anonymous (Querist)

31 October 2012 Advertisement is included in the meaning of Work under Section 194C...So how can it be 94J

Sunny Sonwal

Sunny Sonwal (Expert)
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31 October 2012 You are paying money to models through advertisment agency so TDS would be deductible under section 194C.

CMA. CS. Sanjay Gupta

CMA. CS. Sanjay Gupta (Expert)
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31 October 2012 Advertising is covered u/s 194C but modelling is covered u/s 194J.

Please refer Circular : No. 715, dated 8-8-1995.

Link--

https://law.incometaxindia.gov.in/dittaxmann/incometaxacts/2008itact/Sec_194C.htm

See question No 1

Anand Modi

Anand Modi (Expert)
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31 October 2012 Dear Sanjaybhai it is mentioned in the circular that if payment is made to advertizement agency for availing services of model then TDS u/s 194C is required to be made however in question of Author it is mentioned that payment is directly made by garment seller to model and advertisement agency is nowhere involved and hence TDS u/s 194J will be deducted.

Please correct me if i am wrong!!!

CMA. CS. Sanjay Gupta

CMA. CS. Sanjay Gupta (Expert)
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31 October 2012 Even in case of direct payment TDS will be deducted u/s 194J as there is no advertisement contract. The expenses will be booked as fees paid to models and not as advertisement expenses.

Querist : Anonymous

Querist : Anonymous (Querist)

31 October 2012 Can anyone please quote any relevant reference to support the answer....

Aashok Kumar Sharma online

Aashok Kumar Sharma online

(Expert)
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27 July 2025 Sure! Here’s a clear explanation with references about **TDS on payment to models**:

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### Situation:

* **Garment company pays directly to models** for promoting their products (no agency involved).
* Question: Which TDS section applies — 194C (Contractor) or 194J (Professional fees)?

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### What the law says:

* **Section 194C** covers payment to contractors for carrying out any work including advertising services if paid to an advertising agency.
* **Section 194J** covers fees for professional or technical services, including fees paid to artists, sportsmen, and technical experts.

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### Specific to models:

* Models provide **personal services of a professional nature** (like artists or actors).
* When payment is made **directly to models**, this is **not a contract for “work”** (like construction or advertising agency services). Instead, it is a **professional service**, hence falls under **Section 194J**.

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### Circular Reference:

* **CBDT Circular No. 715 dated 8-8-1995** clarifies this:

> Payments made to advertising agencies for advertising are covered under Section 194C (contract work).
> Payments made directly to models or artists for appearing in advertisements are covered under Section 194J.

You can check the circular [here](https://law.incometaxindia.gov.in/dittaxmann/incometaxacts/2008itact/Sec_194C.htm) — look for Question No. 1 under the explanation.

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### Summary:

| Payment Made To | Applicable TDS Section | Reason |
| ------------------------- | ---------------------- | ---------------------------------- |
| Advertising Agency | Section 194C | Contract work/advertising services |
| Individual Models/Artists | Section 194J | Professional fees for services |

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### Example analogy:

* Cricketers or Bollywood celebrities promoting a brand — payment to them is **professional fees** → TDS under **194J**.
* Similarly, models are treated as professionals for these purposes.

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**So, in your case:**
Since the garment company pays **directly to the models**, TDS must be deducted **under Section 194J** (fees for professional services) at the applicable rate (usually 10%).

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If you want, I can also help you draft a formal note or communicate this with your accounts team!

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