Deduction of TDS on payment to hotels

Hello all,

Please tell that whether TDS liability shall arise on the payment made to hotels on a regular basis. Like in case of tourism industry when the company enters into a contract with a particular hotel that our guests will stay here only. Then should TDS be deducted from the payment to that Hotels by the company. If yes then under which section will it be deducted??
Replies (3)
Quick Summary
This discussion clarifies whether Tax Deducted at Source (TDS) is applicable when a company makes regular payments to hotels, particularly under long-term contracts for guest stays. The consensus is that TDS is indeed applicable in such scenarios. Specifically, it is to be deducted under Section 194I of the Income Tax Act.

Yes... TDS applicable u/s 194I.
Thanks
You are most welcome...

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