Hello Friends,
I want to know about a problem which is related to TDS
Our company Pays Rs. 18000 PM as to owner of generator as rent in addition to rent Rs. 600 per hour on the basic of use of generator.There are two alternate for TDS .First one is TDS Under section 194I on amount without including Service Tax .
The Second is TDS under section 194C on amount including ST.
Plz suggest me which is best and proper solution
Thanks
M Mehra
I dont think there is a difference, since in both the sections, rates are 2%.
There is only a difference when the payee is an individual or an HUF wherein Sec 194C rate would be 1%.
Dear Mr Ram,
TDS u/s 194I attracts 10% when rent is paid for buildings. When it is for plant and machinery, it is 2% u/s 194I.
Dear Mr. Mehra, Yes, you are correct. You can deduct u/s 194I, not u/s 194C.
Regards
i think TDS u/s 194I and not 194C.......194C is for contractors
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agreed with prateek agarwal. I do not think there cannot be any .......... on this point.
Originally posted by : Prateek Agarwal |
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Dear Mr Ram, TDS u/s 194I attracts 10% when rent is paid for buildings. When it is for plant and machinery, it is 2% u/s 194I. Dear Mr. Mehra, Yes, you are correct. You can deduct u/s 194I, not u/s 194C. Regards |
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| Originally posted by : ram babu b.com | ||
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agreed with prateek agarwal. I do not think there cannot be any .......... on this point. Originally posted by : Prateek Agarwal Dear Mr Ram, TDS u/s 194I attracts 10% when rent is paid for buildings. When it is for plant and machinery, it is 2% u/s 194I. Dear Mr. Mehra, Yes, you are correct. You can deduct u/s 194I, not u/s 194C. Regards |
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Shri Ramji,
I have a small confusion in my mind here in the present case Generater Rent is given, will it not be considered as Plant and Machinery, TDS rate for the same is 2%.... it would be a great help if I am wrong and be rectified with explaination.
Regards
Dear Jalpesh,
Rent for Generator is treated as rent for plant and machinery, hence, rate is 2% only.
Agreed with Parteek Ji
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