Tds on interest

Dear Sagar

IF BPCL is Goverment organisation then no need to deduct TDS on the same. Otherwise yes under section 194A.

Regards

agreed with answer of mr. manoj

By virtue of u/s 194A(3) and 197(1C) BPCL is not covered in the exemption. So tax need to be deducted on interest payable to BPCL

Exemptions on TDS on inetrest is applicable to banks, PFI's, Co-op banks, LIC & UTI.

Whether BPCL is Governmrnt Organisation..
 

Central Government is having nearly 54% to 55% of Sharecapital of BPCL, and the remianing are held by other Government and Non-Government Bodies. So in my view BPCL is not fully a Government Company., it is Public Sector Company. So TDS should be deducted.

TDS provisions has nothing to do with govt or non govt company. Even if 90% of stake is held by govt co. TDS provisions are applicable. Exemptions are covered u/s 194A(3) and 197(1C)