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Tds u/s 194c

TDS / TCS 1115 views 6 replies

please tell whether TDS shall be deductible while making payment to a Govt. undertaking named CONTAINER CORPORATION OF INDIA LTD

Replies (6)

yes applicable

YES APPLICABLE

Prateek ji,

The TDS should be deducted while making the payment to Govt. also.

thnx guys....bt its requested to kindly review ur answer reading the provisions of Sec 196....

 

 

Section 196. INTEREST OR DIVIDEND OR OTHER SUMS PAYABLE TO GOVERNMENT, RESERVE BANK OR CERTAIN CORPORATIONS.

 

Notwithstanding anything contained in the foregoing provisions of this Chapter, no deduction of tax shall be made by any person from any sums payable to-

 

(i) The Government, or

 

(ii) The Reserve Bank of India, or

 

(iii) A corporation established by or under a Central Act which is, under any law for the time being in force, exempt from income-tax on its income, or

 

(iv) A Mutual Fund specified under clause (23D) of section 10, where such sum is payable to it by way of interest or dividend in respect of any securities or shares owned by it or in which it has full beneficial interest, or any other income accruing or arising to it.

 

Prateek ji,

 

r u saying TDS will not be deducted ??

I hold same opinion as others

Mr. Ketan Waghela has quoted the section itself and in it nowhere the sections restrict on deducting tax at source for GOVERNMENT UNDERTAKING . There will be No deduction of tax at source in case of payment to Government and those entities mentioned in the S.196


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