Whether TDS applicable ?

This query is : Resolved

C.A Alok Mukherjee (Querist)
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12 October 2009 We are a public limited company belonging to food processing unit and our nature of business is sale of milk and ice-cream. In an institutional sale scheme, we have an agreement with the authorised railway catering service provider who will allow us their space for a support sale of milk and ice-cream from their stall for which we have to pay them a license fee for support of catering? Now, whether, this can be brought a contract of sale of space or otherwise? Whether any tds on our part is applicable? please help?

C.A Alok Mukherjee

C.A Alok Mukherjee (Querist)
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12 October 2009 I am sorry it's not sale of spece but renting of space. Though we are making the payment as license fee there is a cluse in the agreement against which we have pay the municipal tax also.

CA. Vinod Pandey

CA. Vinod Pandey (Expert)
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12 October 2009 TDS u/s 194I should be deducted. Since "Rent" means any payment, by whatever name called, under any lease, sub-lease, tenance or any other agreement or arrangement for the use of any- land or building or land appurtenant to a building (including factory building).
Further, whether or not any or all of the above are owned by the payee.