Tds 195 or 194I

This discussion clarifies the TDS (Tax Deducted at Source) implications when paying rent to a landlord who is a non-resident, even if they have an Indian bank account. According to Section 6 of the Income Tax Act 1961, the landlord's non-resident status dictates that TDS must be deducted under Section 195 at the prevailing rate plus cess, regardless of their bank account location or PAN availability.