September 2025

Section 194BB of the Income Tax Act, 1961, mandates Tax Deducted at Source (TDS) on winnings from horse races, ensuring tax compliance for betting and wagering activities. Below is a detailed breakdown of its provisions: 1. Applicability of Section 194BB Covered Activities: Winnings from horse races(including betting, wagering, and bookmaking). Applies to licensed racecoursesand government-approved betting operators. Threshold for TDS: Single transaction […]

Section 194C of the Income Tax Act, 1961, mandates Tax Deducted at Source (TDS) on payments made to resident contractors or subcontractors for carrying out work (including labor supply). Below is a detailed breakdown of its provisions, compliance requirements, and exceptions. 1. Applicability of Section 194C Who Must Deduct TDS? Specified Persons(Deductors) include: Central/State Governments Local Authorities Companies, Firms, Co-operative Societies

Section 194D of the Income Tax Act, 1961, mandates Tax Deducted at Source (TDS) on payments made as insurance commission or remuneration to resident agents, brokers, or intermediaries for soliciting or procuring insurance business. Below is a detailed breakdown of its provisions: 1. Applicability of Section 194D Who Deducts TDS? Insurance companies (e.g., LIC, private insurers). Any person/entity paying commission for:

Section 194DA of the Income Tax Act, 1961, mandates Tax Deducted at Source (TDS) on payouts from life insurance policies that do not qualify for exemption under Section 10(10D). This ensures tax compliance on taxable maturity proceeds, bonuses, and surrender values. 1. Applicability of Section 194DA ✅ Covered Payments: Maturity proceeds(including bonuses). Surrender value(if policy is terminated early). Partial withdrawals(if treated

Section 194E of the Income Tax Act, 1961, mandates Tax Deducted at Source (TDS) on payments made to non-resident sports professionals, entertainers, or sports associations for income earned in India. This ensures tax compliance on earnings from sports events, performances, or related activities. 1. Applicability of Section 194E ✅ Covered Payments: Fees(participation, prize money, appearance). Advertising income(e.g., endorsements). Article contributions(newspapers/journals related to

Section 194EE of the Income Tax Act, 1961, mandates Tax Deducted at Source (TDS) on withdrawals from the National Savings Scheme (NSS) and certain other small savings instruments. Below is a detailed breakdown of its provisions, exemptions, and recent updates: 1. Applicability of Section 194EE ✅ Covered Payments: Withdrawals(principal + interest) from NSS accounts. Maturity proceedsfrom linked schemes like National Savings Certificates (NSC) if

Section 194G of the Income Tax Act, 1961, mandates Tax Deducted at Source (TDS) on commission or remuneration paid to lottery ticket distributors or agents. Below is a detailed breakdown of its provisions: 1. Applicability of Section 194G ✅ Covered Payments: Commissionfor selling lottery tickets (including state/government lotteries). Bonus/incentiveslinked to ticket sales. ❌ Exclusions: Direct lottery winnings(covered under Section 194B). Payments ≤ ₹15,000in

Section 194H of the Income Tax Act, 1961, mandates Tax Deducted at Source (TDS) on payments made as commission or brokerage to resident individuals/entities. Below is a detailed breakdown of its provisions, exemptions, and compliance requirements. 1. Applicability of Section 194H ✅ Covered Payments: Commission(e.g., sales agents, referral fees). Brokerage(stockbrokers, real estate brokers). Any payment for services rendered as an intermediary. ❌ Exclusions:

Section 194-I of the Income Tax Act, 1961, mandates Tax Deducted at Source (TDS) on rent payments exceeding specified thresholds. Below is a structured breakdown of its provisions, rates, exemptions, and compliance requirements: 1. Applicability of Section 194I ✅ Covered Payments: Rent for land, building(residential/commercial), factory premises, furniture, fittings, plant, machinery, or equipment. Payments under lease, sub-lease, tenancy, or any similar arrangement. ❌ Exclusions: Refundable security deposits(not treated as

Section 194-IA of the Income Tax Act, 1961, mandates Tax Deducted at Source (TDS) on payments made for the purchase of immovable property (excluding agricultural land) when the transaction value exceeds ₹50 lakh. Below is a structured breakdown of its provisions, compliance requirements, and penalties. 1. Applicability of Section 194-IA ✅ Covered Transactions: Residential/Commercial Property(flats, houses, land, buildings). Joint Ownership(threshold