income tax TDS on LFR paid to IOC

TDS on License Fees will be deducted @ 10% u/s 194J.

I have also one client having Petrol Pump. IOC charged LFR (License Fees Recovery) Charges in Invoice. Is there any TDS provision on LFR charges.  I have one circular received from petrolium association Which is attached. In that, It is specify rate of 2 % and 10% accordingly SIte A and B. If its deducted TDS, then under which section of TDS.?? Please help me soon.

Read more at: https://www.caclubindia.com/forum/tds-on-lfr-on-petrolium-product-461264.asp

Though the license Fees falls under section 194J; but here, it should be u/s. 194-I .

As 'A' sites are outlets where the land is owned or leased by the OMCs 

Dealers at 'B' sites own or lease the land and building, but Equipment is owned by the OMCs.
 

Sir, thanks for the reply, so please do let me know when our client who is dealer for BPCL, needs to deduct TDS @ 10% on LFR?

TDS ON LFR SHOULD BE DEDUCTED @ 2% UNDER SEC 194-IA IF THE PETROL PUMP IS OWNED BY THE DEALER ITSELF, OTHERWISE 10%.