Nandhakumar & Sundaran - N&S Blog , UncategorizedNandhakumar & Sundaran - N&S Blog , Uncategorizedhttps://www.nscas.in/blogs/UncategorizedThu, 07 May 2026 18:43:46 +0530http://zoho.com/sites/<![CDATA[Income Tax Act 2025 - Tax Year 2026-27 onwards]]>https://www.nscas.in/blogs/post/income-tax-act-2025-tax-year-2026-27-onwards

Clause

Old Section

Nature of Payment / Income

Threshold (per TY, unless stated)

TDS Rate (%)

392(1)(a)

192

Salary

Taxable salary

As per slab

392(6)

192A

Accumulated PF balance

> ₹50,000

10

393(1) Sl.1(i)

194D

Insurance commission (non-corporate)

Aggregate > ₹20,000

2

393(1) Sl.1(i)

194D

Insurance commission (company)

Aggregate > ₹20,000

10

393(1) Sl.1(ii)

194H

Commission or brokerage

Aggregate > ₹20,000

2

393(1) Sl.2(i)

194-IB

Rent by individual/HUF (not liable to audit)

Monthly rent > ₹50,000

2

393(1) Sl.2(ii)(a)

194-I

Rent (plant & machinery)

Monthly rent > ₹50,000 (≈ ₹6,00,000 p.a.)

2

393(1) Sl.2(ii)(b)

194-I

Rent (land, building, furniture, fittings)

Monthly rent > ₹50,000 (≈ ₹6,00,000 p.a.)

10

393(1) Sl.3(i)

194-IA

Transfer of immovable property (not agricultural land)

Consideration ≥ ₹50,00,000

1

393(1) Sl.3(ii)

194-IC

Monetary consideration under JDA

Any amount

10

393(1) Sl.3(iii)

194LA

Compensation on acquisition of immovable property

Aggregate > ₹5,00,000

10

393(1) Sl.4(i)

194K

Income in respect of units

Aggregate > ₹10,000

10

393(1) Sl.4(ii)

194LBA

Distribution by business trust (interest/rent, etc.)

Any distributed income

10

393(1) Sl.4(iii)

194LBB

Income from investment fund (non-exempt)

Any income

10

393(1) Sl.4(iv)

194LBC

Income from securitisation trust

Any income

10

393(1) Sl.5(i)

193

Interest on securities

> ₹10,000

10

393(1) Sl.5(ii)

194A

Interest (Bank/PO) - Senior citizen

> ₹1,00,000

10

393(1) Sl.5(ii)

194A

Interest (Bank/PO) - Others

> ₹50,000

10

393(1) Sl.5(iii)

194A

Interest (other than Bank/PO)

> ₹10,000

10

393(1) Sl.6(i)

194C

Contractor/sub-contractor (individual/HUF)

Single > ₹30,000 or aggregate > ₹1,00,000

1

393(1) Sl.6(i)

194C

Contractor/sub-contractor (others)

Single > ₹30,000 or aggregate > ₹1,00,000

2

393(1) Sl.6(ii)

194M

Specified payments by individual/HUF (not liable 194C/H/J)

Aggregate > ₹50,00,000

2

393(1) Sl.6(iii)

194J

Technical services/specified royalty

Aggregate > ₹50,000

2

393(1) Sl.6(iii)

194J

Other professional fees/royalty

Aggregate > ₹50,000

10

393(1) Sl.6(iii)

194J

Director fees/remuneration

Any amount

10

393(1) Sl.7

194

Dividend

Any amount

10

393(1) Sl.8(i)

194DA

Life insurance payout (taxable component)

Aggregate ≥ ₹1,00,000

2

393(1) Sl.8(ii)

194Q

Purchase of goods

Aggregate purchases > ₹50,00,000

0.1

393(1) Sl.8(iii)

194P

Resident senior citizen (≥75 yrs, specified bank)

Taxable income

As per slab

393(1) Sl.8(iv)

194R

Benefit/perquisite from business/profession

Aggregate > ₹20,000

10

393(1) Sl.8(v)

194-O

E-commerce payments to resident participant

Any amount; no TDS if resident individual/HUF ≤ ₹5,00,000

0.1

393(1) Sl.8(vi)

194S

Transfer of virtual digital asset

As per section (₹10,000/₹50,000 for specified persons)

1

393(10) Sl.1

194B

Lottery, puzzle, card game, betting winnings

> ₹10,000 per transaction

30

393(10) Sl.2

194BA

Winnings from online games

Net winnings

30

393(10) Sl.3

194BB

Winnings from horse races

> ₹10,000 per transaction

30

393(10) Sl.4

194G

Lottery ticket commission

> ₹20,000

2

393(10) Sl.5

194N

Cash withdrawal (normal case)

Aggregate > ₹1 crore (₹3 crore co-op societies)

2

393(10) Sl.5

194N

Cash withdrawal (non-filers, 3 preceding FYs)

Aggregate > ₹20 lakh: 2%; > ₹1 crore: 5%

2 / 5

393(10) Sl.6

194EE

NSS/annuity deposits

Aggregate ≥ ₹2,500

10

393(10) Sl.7

194T

Remuneration/salary/interest to partner of firm (NEW)

Aggregate to a partner > ₹20,000

10

]]>Thu, 02 Apr 2026 15:21:16 +0530<![CDATA[RBI Extends the Time Period for Realisation of Full Export from 9 to 15 Months]]>https://www.nscas.in/blogs/post/rbi-extends-the-time-period-for-realisation-of-full-export-from-9-to-15-months

RBI extends export realisation period

Ref.:Notification No. F.No. FEMA 23(R)/(7)/2025-RB; Dated: 13.11.2025

Background
The Reserve Bank of India (RBI) has notified the Foreign Exchange Management (Export of Goods and Services) (Second Amendment) Regulations, 2025, amending provisions under Regulations 9 and 15 of the Foreign Exchange Management (Export of Goods and Services) Regulations, 2015.

The amendments aim to provide greater flexibility to exporters in realising export proceeds and in managing advance payments received against export orders.

Key Amendment 1 – Extended Period for Realisation and Repatriation of Export Proceeds

Earlier Provision
Under Regulation 9, the export value of goods, software, or services was required to be realised and repatriated to India within 9 months from the date of export.

Revised Provision
The RBI has now extended this period to 15 months, offering exporters additional time for recovery of payments from overseas buyers.

Applicability
The revised 15-month period also applies to exports made by:

Units in Special Economic Zones (SEZs),
  • Status Holder Exporters,
  • Export Oriented Units (EOUs), and
  • Units located in Electronics Hardware Technology Parks (EHTPs), 
  • Software Technology Parks (STPs), and 
  • Bio-Technology Parks (BTPs).

This harmonisation ensures uniformity across all export categories and promotes ease of doing business in international trade.

Key Amendment 2 – Extended Time for Shipment Against Advance Payments

Earlier Provision
Under Regulation 15, when an exporter received an advance payment (with or without interest) from a buyer or third party abroad, the exporter was required to ship the goods within one year from the date of receipt of such advance.

Revised Provision
The amended regulation now allows exporters up to three years from the date of receipt of advance payment to complete shipment of goods, provided the advance has been declared in the export documentation.

This change provides exporters with greater operational flexibility, especially in cases involving large, complex, or long-term export contracts.

Significance
These amendments are expected to:
  1. Facilitate easier cash flow management for exporters,
  2. Provide longer timelines for realisation and fulfilment of export obligations,
  3. Improve India’s export competitiveness, and
  4. Align export compliance requirements with global trade practices.
Get Started Now
]]>Wed, 19 Nov 2025 15:27:11 +0530<![CDATA[CAM charges taxable under Section 194C @ 2% TDS, not under Section 194I @ 10%.]]>https://www.nscas.in/blogs/post/cam-charges-taxable-under-section-194c-2-tds-not-under-section-194i-10-.

Case Details

  • Court: Delhi High Court

  • Date of ITAT Order Appealed: 27 February 2025

  • Appeal Numbers: ITA No. 5062/Del/2024 & ITA No. 5063/Del/2024 (before ITAT)

  • Assessment Years: AY 2011–12 & AY 2015–16

  • Type of Appeal: Revenue’s appeal under Section 260A of the Income Tax Act, 1961, against ITAT’s decision

Facts of the Case

  1. The Assessee had taken premises on lease and also paid Common Area Maintenance (CAM) charges to the landlord/mall management.

  2. The Assessee deducted TDS at 2% under Section 194C (payments under a contract) on CAM charges.

  3. The Assessing Officer (AO) treated CAM charges as part of rent, attracting TDS at 10% under Section 194I (rent) and declared the Assessee as assessee-in-default under Section 201(1) for short deduction of TDS.

  4. The CIT(A) upheld the AO’s view.

  5. On appeal, the ITAT examined whether CAM charges should be taxed under Section 194I or Section 194C.

  6. Revenue argued that CAM charges and rent were part of a composite agreement, citing Sunil Kumar Gupta (P&H HC).

  7. The Assessee relied on earlier ITAT decisions (Connaught Plaza Restaurants, Kapoor Watch Company) and departmental precedents involving Ambience Group cases, where CAM charges were held to be service payments taxable under 194C.

ITAT’s Findings / Holding

  • Nature of CAM Charges: These are contractual payments for services/facilities such as cleanliness, maintenance, utilities etc., and not for the use of premises or equipment.

  • Separation from Rent: CAM charges are separate from rental payments and cannot be construed as “rent” under Section 194I.

  • Applicable TDS Provision: CAM charges fall under the scope of “work” under Section 194C and are subject to 2% TDS.

  • Precedents Relied On: Kapoor Watch Company Pvt. Ltd. v. ACIT and similar tribunal rulings where CAM charges were distinguished from rent.

  • Outcome: Orders of AO and CIT(A) set aside; appeals allowed in favour of Assessee; Assessee not in default u/s 201(1).

High Court’s Decision

  • Key Reference: CIT (TDS)-1, Delhi v. Liberty Retail Revolutions Ltd. and similar rulings of the Court, including dismissal of Revenue’s appeals in CIT-TDS-01 v. Bose Corporation India Pvt. Ltd.

  • Position of Law Affirmed:

    • CAM charges are maintenance expenses for common facilities, shared by tenants, and cannot be treated as rent.

    • Covered under Section 194C (contract payments), not under Section 194I (rent).

  • Conclusion: No substantial question of law arises; appeals of Revenue dismissed.

✅ Final Outcome: Revenue’s appeals dismissed; Assessee’s position upheld — CAM charges taxable under Section 194C @ 2% TDS, not under Section 194I @ 10%.

Get Started Now
]]>Wed, 13 Aug 2025 11:41:23 +0530