TDS PROVISIONS EXTENDED

The scope of Section 194-I in respect of tax to be deducted on payment of rent is being extended by including payment of rent for machinery, plant, equipment, furniture or fittings also. The liability to deduct tax shall be irrespective of the fact whether any or all of these assets are owned by the payee or not. The above amendment shall be effective from the date when the bill receives the assent of the President. Expenditure on account of rent and royalty to be disallowed on failure to deduct tax at source Provision of Section 40(a)(ia) is being extended to include payment of rent and royalty also.