Tds on interest

Mr.Santosh

As per section 196, no tds is required to deducted from any sum payable to:

a. Govt.

b. RBI

c. Mutual fund

d. Corporation established under any Central Act whose income is exempt from tax

in your case if  India Automotive Components Manufacturers Private Equity Fund-1- Domestic (IACM-1-D) is falls under any of tha above category than your are not required to deduct tds on payment of such interest

Thanks for your reply Mr. Ravi

Dear Mr. Ravi Kumar 

India Automotive Components Manufacturers Private Equity Fund-1- Domestic (IACM-1-D) is subsidiary to the IFCI 

The IFCI was established as a statutory corporation in 1948 by the enactment of the Industrial Financial Corporation of India Act, 1948 („the 1948 Act‟).

Do we liable to deduct TDS on a subsidiary company to the comapny which was established by the Act of Parliament

Please reply

thanks in Advance