Section Pariculars

190 Deduction of tax at source and advance payment

Modes Tax deduction at source
Tax collection at source
payment of advance tax

Tax paid by employer on non monetary perquisites provided

192(1A) to employee

191 Direct payment

Situations Income for which no TDS needs ro be deducted
Income for which TDS has to be deducted, but was not
deducted

Person who had to deduct TDS, or employer who has to pay

Assessee in tax as per Section 192(1A), but has not deducted or paid the
default whole or part of the tax*

192 Salary
Rate Average rate= Total income tax/ total income

TDS on salary to
government
employees Relief under Section 89(1) should also be considered*
Loss from house
property Only to the extend it is adjusted against salary income

Special form No 12BA, stating all the perquisites and profit in

Salary> 150000 Lieu of salary provided to such employee must be stated
Salary< 150000 Perquisites can be stated in Form 16 itself
Evidence
Rule 26C Evidence
House rent
allowance Where rent> 100000, name, address, PAN of landlord
Leave travel
concession Evidence of expenditure incurred

Deduction of
interest under the
head of 'Income
from house
property Name, address, PAN of lender

Deduction under
chapter VI-A Evidence of investment or expenditure

192A Premature withdrawal from employee provident fund

Rate 10%
Time At the time of payment
Exception Aggregate withdrawal <50000

No PAN provided TDS at maximum marginal rate

193 Interest on securities

Person
responsible The person who pays interest to resident
Rate 10%
The date on which the interest is credited to payee account,
Time or the date of payment, whichever is earlier

194A Interest other than interest on securities

Interest paid by individual or HUF, whose turnover exceed
Applicability limits as per Section 44AB
Rate 10%
The date on which the interest is credited to payee account,
Time or the date of payment, whichever is earlier

Non applicability Total interest does not exceed Rs. 5000 in a FY

In case of post office deposit, time deposit with co operative

societies, banking companies, where interest for FY does not
exceed RS 10000, Rs 50000 for senior citizen

194B, 194BB Winnings from lotteries, crossword puzzles, and horse races
Rate 30%
Amount Winning> 10000

Payment is made part in cash and part in kind and the cash
portion is not sufficient to be deducted as TDS, the payer
should ensure that such tax is paid before releasing the
Part in cash winnings

194C Payments to contractors and sub contractors

The date on which the payment is credited to payee account,
Time or the date of payment, whichever is earlier
No TDS in case the payment is made exclusively for personal
Exception purpose
Rate
Individual, HUF 1%
Others 2%

Transport
contractors(PAN
furnished) Nil
A contract payment< 30000, or aggregate payment during a
Exception year is more than RS 100000

Non applicability Plying, hiring and leasing good carriages

 When the contractor owns ten or less carriages at any point of
* time during FY

* Has furnished a declaration to this effect along with his PAN

194D Insurance commission

Rate 5%
The date on which the payment is credited to payee account,
Time or the date of payment, whichever is earlier
TDS is deductible when the payment exceeds Rs 15000 during
Threshold limit a FY

194-DA Payment in respect of life insurance policy

Sum received from life insurance policy which do not meet
Applicability the conditions specified in Section 10(10D)
Rate 1%
Threshold limit Rs 100000 or more in a FY

194E Payments to non resident sportmen or sports association

Rate TDS+ cess= 20%+ 20%*4%= 20.8%
The date on which the payment is credited to payee account,
Time or the date of payment, whichever is earlier
Income under
Section 115BBA Income received by non resident sportsman by
Participation in game
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Contribution of articles to magazines

Payment in respect of deposits under National Savings

194EE Scheme
Rate 10%
Threshold limt 2500 in a FY

Non applicability When such payment is made to the heirs of the assessee

194F Repurchase of units by Mutual funds or Unit trust of India

Rate 20%

194G Commision Etc on sale of lottery tickets

Rate 5%
Threshold limit Rs 15000
The date on which the payment is credited to payee account,
Time or the date of payment, whichever is earlier

194H Commission or Brokerage

Rate 5%
Threshold limit Rs 15000
The date on which the payment is credited to payee account,
Time or the date of payment, whichever is earlier

Non applicability Professional services

No tds on payment by BSNL or MTNL to their public call
franchises

194-I Rent
Rate

Plant and
machinery,
equipment 2%
Others 10%
Threshold limit 180000 in a FY
The date on which the payment is credited to payee account,
Time or the date of payment, whichever is earlier

No deduction under this section shall be made in respect of

rent paid to REIT (Real Estate investment trust), in respect to
Exception real estate asset owned directly by it

Rent paid for cold storage cannot be affected by this section

as the main purpose of such is the preservation of goods, of
CBDT circular which storage is an ancillary function. The payee is not given
No.1/2018 dated any right to use any demarcated space in the storage, and
10.1.18 hence the payee does not become a tenant*

Payment on transfer of certain immovable property other

194-IA than agricultural land
Applicability Transfer of property other than agricultural land

Non applicability Compulsory acquisition of land*

Rate 1%
Threshold limit RS 5000000
Time of credit of the payee in payer's book, or the date of
Time payment, whichever is earlier

TAN There is no requirement to obtain TAN as per section 203A

The TDS deducted must be paid to the central government
Rule 30,31A,31 within 30 days from the date of deduction

Payment of rent by certain individuals or Hindu undivided

194-IB families

Payment of rent by individuals or HUFs, whose thurnover

does not exceed monetary limit prescribed under section
Applicability 44AB
 Such TDS has to be deducted only if the MONTHLY RENT is
Limit greater than RS 50000
Rate 5%
Has to be deducted from the rent paid during the last month
Time of the FY

In case the payee vacated the property during the FY, TDS has
to deducted from the rent of the last month of occupancy
The TDS deducted cannot exceed the rent paid of the last
Restriction* month of the FY
TAN Not required
PAN If not provided, TDS @ 20%*

194-IC Payment under specified agreement

Rate 10%
TDS on payment made to any resident, being consideration
Applicability not in kind
Time of credit of the payee in payer's book, or the date of
Time payment, whichever is earlier

Since specified agreements under section 45(5A)* is covered

Non applicability under Section 194-IC, section 194 -IA is not applicable here

194J Fees for professional or techical service

Applicability Fees for technical service *
Fees for professional service *
Remuneration, commission to director, other than payments
covered under Section 192
Royalty *
Non compete fees as per Section 28(va) *
Rate
Others 10%

Payee engaged
only in call center
business 2%
Threshold Limit Rs 30000 separately for * mentioned payments
No such exception for commission or remuneration paid to
director
When fees for professional or technical service is paid
Non applicability exclusively for personal purpose.

Circular
No.8/2009 dated TPAs liable to deduct tax on payment made to hospitals on
24.11.09 behalf of insurance companies
 Payment of compensation on acquisition of certain
194LA immovable properties

Applicability Compensation or enhanced compensation

Rate 10%
Payment of the sum in cash or issue of cheque or any other
Time mode, whichever is earlier.
Threshold limit Rs 250000 in a FY

No tds if exempted from levy of income tax under Section 96

of the right to fair compensation and transparency in land
Non applicability acquisition, rehabilitation and resettlement act, 2013

194LB Income by way of interest from Infrastructure debt fund

*Not applicable if the assessee himself had paid the tax

*Late receipt of salary or arrears of salary received

*The rate of income tax applicable to the highest slab of income
*Since this is contractual in nature,
cooling charges paid will attract the
provisions of Section 194C

*Covered under Section 194-LA

*The restriction applies here too

*A registered agreement under which a

person owning a land or building or
both allows another person to develop
real estate projects in that land or
building or both