Dear All
This is a query related to TDS on Interest paid to India Automotive Components Manufacturers Private Equity Fund-1- Domestic (IACM-1-D)
Our company has issued Debentures (OCD) to India Automotive Components Manufacturers Private Equity Fund-1- Domestic (IACM-1-D) which is a subsidiary of IFCI Venture capital funds PVt.Ltd. I am just wondering if we have to dedcut TDS on interest paid to the above said party.
Thanks in Advance
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
CAclubindia
