KnowyourGST-Blog on Indian Tax Laws

TDS on other sums (payable to non-residents) [Section 195] | AY 2019-20 onwards

Applicability Any person responsible for paying interest (other than interest referred to in section 194LB or section 194LC or section 194LD) or any other sum chargeable to tax (other than salaries) to a non-corporate non-resident or to a foreign company is liable to deduct tax at source at th... Click to read full article

CA Ankit Sharma 15/01/2019 under Income-Tax

TDS on Interest on Government securities or rupee-denominated bonds of an Indian company payable to a Foreign Institutional Investor (FII) or a Qualified Foreign Investor (QFI) [Section 194LD] | AY 2019-20 onwards

Applicability and Rate of TDS Section 194LD provides that any income by way of interest payable during the period between 1.6.2013 and 30.6.2020 in respect of investment made by an FII or QFI in a rupee denominated bond of an Indian company or a Government security, shall be subject to tax ded... Click to read full article

CA Ankit Sharma 15/01/2019 under Income-Tax

TDS on income by way of interest from an Indian company [Section 194LC] | AY 2019-20 onwards

Concessional rate of tax on interest on foreign currency borrowings by an Indian company or business trust Interest paid by an Indian company or business trust to a foreign company or a non-corporate non-resident in respect of borrowing made in foreign currency from sources outside India betwe... Click to read full article

CA Ankit Sharma 15/01/2019 under Income-Tax

TDS on Income by way of interest from Infrastructure Debt Fund [Section 194LB] | AY 2019-20 onwards

Special rate of tax on interest received by non-residents from notified infrastructure debt funds Interest income received by a non-corporate non-resident or a foreign company from notified infrastructure debt funds set up in accordance with the prescribed guidelines would be subject to tax at... Click to read full article

CA Ankit Sharma 15/01/2019 under Income-Tax

TDS on payment of compensation on acquisition of certain immovable property [Section 194LA] | AY 2019-20 onwards

Applicability Section 194LA provides for deduction of tax at source by a person responsible for paying to a resident any sum in the nature of – compensation or the enhanced compensation or the consideration or the enhanced consideration on account of compulsory acquisition, ... Click to read full article

CA Ankit Sharma 15/01/2019 under Income-Tax

TDS on fees for professional or technical services [Section 194J] | AY 2019-20 onwards

Applicability and Rate of TDS Every person, 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 deduc... Click to read full article

CA Ankit Sharma 14/01/2019 under Income-Tax

TDS on payment under specified agreement [Section 194-IC] | 2019-20 onwards

Applicability and Rate This section casts responsibility on any person responsible for paying to a resident any sum by way of consideration, not being consideration in kind, under a specified agreement under section 45(5A), to deduct income-tax at the rate of 10% . Time of deduction This... Click to read full article

CA Ankit Sharma 14/01/2019 under Income-Tax

TDS on payment of rent by certain individuals or Hindu undivided family [Section194-IB] | AY 2019-20 onwards

Applicability and Rate of TDS Section 194-IB requires any person, being an individual or a HUF, other than those individual or HUF whose total sales, gross receipts or turnover from the business or profession carried on by him exceed the monetary limits of  Rs 1 crore and  Rs 50 lakh... Click to read full article

CA Ankit Sharma 14/01/2019 under Income-Tax

TDS on payment on transfer of certain immovable property other than agricultural land [Section 194-IA] | AY 2019-20 onwards

Applicability and Rate Every transferee responsible for paying any sum as consideration for transfer of immovable property (land, other than agricultural land, or building or part of building) to a resident transfer shall deduct tax, at the rate of 1% of such sum. Time of deduction Tax i... Click to read full article

CA Ankit Sharma 14/01/2019 under Income-Tax

TDS on Rent [Section 194-I] | AY 2019-20 onwards

Applicability and Rate of TDS Any person who is responsible for paying to a resident any income by way of rent shall deduct income tax at the rate of: 2% in respect of rent for plant, machinery or equipment; 10% in respect of other rental payments (i.e., rent for use of any land or bui... Click to read full article

CA Ankit Sharma 14/01/2019 under Income-Tax

TDS on commission or brokerage [Section 194H] | AY 2019-20 onwards

Applicability and Rate of TDS Any person who is responsible for paying any income by way of commission (other than insurance commission) or brokerage to a resident shall deduct income tax at the rate of 5%. However, an individual or HUF whose total sales, gross receipts or turnover from the... Click to read full article

CA Ankit Sharma 11/01/2019 under Income-Tax

TDS on commission etc. on the sale of lottery tickets [Section 194G] | AY 2019-20 onwards

Applicability Under section 194G, the person responsible for paying to any person, who is or has been stocking, distributing, purchasing or selling lottery tickets, any income by way of commission, remuneration or prize (by whatever name called) on lottery tickets shall deduct income-tax there... Click to read full article

CA Ankit Sharma 11/01/2019 under Income-Tax