Xerox M/c taken on rent. Bill is raised on No of copies taken ( Min. charges or actual copies taken whichever is higher) TDS is to be deducted as rent 10% or contract 2%.
7 Replies
Sunil
(Trader)
(2610 Points)
Replied 17 November 2009
If the xerox machine vendor is being paid per copy and the responsibility of running the machine (including spare parts, consumable and paper etc.) is his, then it is a contract u/s 194 C. If you pay him monthly rental and you yourself run the machine then it is a lease agreement u/s 194I. You will pay him for minimum copies per month and deduct TDS @ 1% for individiual/huf or 2% for others u/s 194C. He has got the machine to your premises and is using your electricicty. However, you are paying less than what is being paid outside. Only ensure that repairs and consumables and all risks are his.
sridhar
(ACCOUNTANT)
(108 Points)
Replied 20 June 2012
Dear sir
Pls tell me what is rate of TDS will be deduct on a Digital Xerox Machine taken in rent
thanks
sridhar
Raman Arora
(Bank Auditor)
(40 Points)
Replied 21 June 2012
Deduct TDS @ 1% for individiual/huf or 2% for others u/s 194C(contractor)
Santosh V. Thakur
(Sr. Accountant)
(187 Points)
Replied 21 June 2012
@ Raman Arora,
Shridhar asking about TDS on Rent (194I) on xerox machine (plant & machinery), so TDS DEDUCT @ 2% for All (HUF/INDIVIDUAL & ALSO FOR CO.)
Raman Arora
(Bank Auditor)
(40 Points)
Replied 22 June 2012
TDS DEDUCT @ 2% for Companies
1% for others
Santosh V. Thakur
(Sr. Accountant)
(187 Points)
Replied 22 June 2012
@ Mr.Raman,
TDS DEDUCT @ 2% for Companies, 1% for others- Section 194C(1)&(2) - For contract
TDS DEDUCT @ 2% for Companies & for others- Section 194I - For Rent (Plant/Machinery)
for TDS Rates Refer following link
Devanshu jain
(Student CA Final )
(22 Points)
Replied 24 April 2021
@ Santosh V. Thakur
Can you give reference of tax law for reference. So that on the basis of which advice/opinion can be provided.
Regards,
Devanshu Jain
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