Quick Summary
Reducing the rate of TDS on fees for technical services (other than professional services) Section 194J of the Act provides that any person, not being an individual or a HUF, who is responsible for paying to a resident any sum by way of fees for professional services, or fees for technical services, or any remuneration or fees or commission by whatever name called (other than those on which tax is deductible under section 192 of the Act, to a director), or royalty or any sum referred to in c
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1 Year PLAN
1999
(Excl. of GST ₹359)
BEST VALUE
2 Years PLAN
3499
(Excl. of GST ₹629)
3 Months PLAN
999
(Excl. of GST ₹179)
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FAQ :
The TDS rate for fees for technical services (other than professional services) under Section 194J has been reduced to 2%.
The previous TDS rate for fees for technical services under Section 194J was 10%.
The rate is being reduced to minimise litigation and disputes that arise when tax officers claim tax should have been deducted under Section 194J instead of Section 194C.
No, the reduction to 2% specifically applies to fees for technical services (other than professional services). The TDS rate in other cases under Section 194J remains at 10%.
This amendment will take effect from 1st April, 2020.
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