Tds on interest

TDS 318 views 1 replies

 company has taken loan from L&T finance and is paying interest on it. is tds applicable on it or not.

Replies (1)

Exemption is provided to the following i. e. no TDS on interest paid to them: to such income credited or paid to - (a)  any banking company to which the Banking Regulation Act, 1949 (10 of 1949), applies, or any co-operative society engaged in carrying on the business of banking (including a co-operative land mortgage bank), or  (b)  any financial corporation established by or under a Central, State or Provincial Act, or (c)  the Life Insurance Corporation of India established under the Life Insurance Corporation Act, 1956 (31 of 1956), or (d)  the Unit Trust of India established under the Unit Trust of India Act, 1963 (52 of 1963), or       (e)  any company or co-operative society carrying on the business of insurance, or (f)  such other institution, association or body 78[or class of institutions, associations or bodies] which the Central Government may, for reasons to be recorded in writing, notify79 in this behalf in the Official Gazette;
 

As per above explanation TDS applicable


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