Tds on furniture

Hello Sir/Mam,

We have a client which is in the business of stall erection & fabrication. It takes on hire basis furniture for providing it in the stall. They deduct TDS U/s 194 I @ 2% saying that the furniture taken on rent is in the nature of equipments . However, the rate of TDS deduction on furniture is 10%. In this case is the firm following the right practice or there is a short deduction of TDS?

Please support your answers with case laws or circulars if any.

Thank You