Can I read Section 194-I: Cooling Charges Tax Clarification on EtoBox?
Section 194-I: Cooling Charges Tax Clarification by navinkapil is a document available to read on EtoBox.
What is Section 194-I: Cooling Charges Tax Clarification about?
Section 194-I of the Income Tax Act regarding tax deduction on rent payments does not apply to cooling charges paid by customers to cold storage owners. While cold storages provide preservation and storage services, storage is incidental and customers do not rent space or machinery, so they are not tenants. However, as the arrangement is contractual, section 194C requiring tax withholding on contractual payments does apply to cooling charges paid to cold storage owners.
- Author
- navinkapil
- Language
- EN