I am contractor, generally companies like Mahindra they take properties on rent from me. .. for a yard. They store vehicles. I took responsibility of their vehicles and store them in this yard.
I provide them property for it.
but.. the property I give them I also take that property on rent.
Now, company deducts TDS on rental income.
its a huge amount.
according company should deduct TDS on the basics of 194C because I'm a contractor instead of 194Ib.
I agreement of rent is between me n party not with Mahindra.
Thn Mahindra can deduct this tax in 194Ib.
Please give ur suggestions.
As I understand your problem , I think ,Though you are not only giving your property for rent but you also took the responsibilities of the maintenance of their vehicles , & the maintenance responsibilities coming under the contractorship as the company thinks. Though you are a lawyer Rudra, I think you better understand the language of Law which is written in the agreement .
CAclubindia
