TDS. on Van Rent for Workers Transport

TDS 1081 views 7 replies

            One of my client, rent paid for Van to transport the workers from their house to factory and factory to their house.  They are paying 22000/- more per month.  Van owners (all are individuals) having pan card, also given the zerox.   which section will be cover TDS under 194 C or 194 I?  If under 194 I, what is the percentage of tax to be deducted?

Replies (7)

 

See u/s 194i "rent" means any payment, by whatever name called, under any lease, sub-lease, tenancy or any other agreement or arrangement for the use of any land or any building (including factory building), together with furniture, fittings and the land appurtenant thereto, whether or not such building is owned by the payee;

You can deduct tds u/s194I For rent of car. You have to deduct tds u/s 194C.

Sir,

Thanks for your reply.

Can u explain me the following from your reply?

"You can deduct tds u/s194I For rent of car. You have to deduct tds u/s 194C"

Once again i ask my question: Which section will be cover TDS u/s. 194 C or 194 I?  If under 194 I, what is the percentage of tax to be deducted?

Tds have to be deduct u/s 194c @ 2 % if its company or 1 % if its individual or huf. threshold limit for single bill is 30,000/- and for 75,000/- yearly.

The above TDS deduction will cover u/s. 194 C other than transport ?

 

Section 194 C is for contract if you are in contract with your party. You are liable to deduct tds u/s194c.

But, you are advised me to deduct tax u/s. 194 C. How?

 

If there is contract between you and your party than you are able to deduct tds. Otherwise no.


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