{"id":3519,"date":"2022-09-17T09:50:00","date_gmt":"2022-09-17T09:50:00","guid":{"rendered":"http:\/\/localhost\/new\/uja.in-de\/?p=3519"},"modified":"2022-09-17T09:50:00","modified_gmt":"2022-09-17T09:50:00","slug":"newly-incorporated-section-194r-income-tax-act-1961","status":"publish","type":"post","link":"https:\/\/uja.in\/de\/regulatory-updates\/tax\/newly-incorporated-section-194r-income-tax-act-1961\/","title":{"rendered":"Newly Incorporated Section 194R (Income Tax Act 1961)"},"content":{"rendered":"\t\t<div data-elementor-type=\"wp-post\" data-elementor-id=\"3519\" class=\"elementor elementor-3519\">\n\t\t\t\t\t\t<section class=\"elementor-section elementor-top-section elementor-element elementor-element-b7f8d89 elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"b7f8d89\" data-element_type=\"section\" data-e-type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-100 elementor-top-column elementor-element elementor-element-553cc5c\" data-id=\"553cc5c\" data-element_type=\"column\" data-e-type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t<div class=\"elementor-element elementor-element-209d230 elementor-widget elementor-widget-heading\" data-id=\"209d230\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t<h1 class=\"elementor-heading-title elementor-size-default\">Newly Incorporated Section 194R<span style=\"color: #ee1122\"> (Income Tax Act 1961) <\/span><\/h1>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-3ed9e10 elementor-widget-divider--view-line elementor-widget elementor-widget-divider\" data-id=\"3ed9e10\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"divider.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<div class=\"elementor-divider\">\n\t\t\t<span class=\"elementor-divider-separator\">\n\t\t\t\t\t\t<\/span>\n\t\t<\/div>\n\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-adb7c3b elementor-widget elementor-widget-text-editor\" data-id=\"adb7c3b\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t<div class=\"elementor-element elementor-element-8d28b31 elementor-widget elementor-widget-heading\" data-id=\"8d28b31\" data-element_type=\"widget\" data-widget_type=\"heading.default\"><div class=\"elementor-widget-container\"><h5 class=\"elementor-heading-title elementor-size-default\">Section 194R:- TDS on Benefit\/Perquisite in respect of Business\/Profession<\/h5><\/div><\/div><div class=\"elementor-element elementor-element-7a607e7 elementor-widget elementor-widget-heading\" data-id=\"7a607e7\" data-element_type=\"widget\" data-widget_type=\"heading.default\"><div class=\"elementor-widget-container\"><h5 class=\"elementor-heading-title elementor-size-default\">Applicability Form : &#8211; 1st JULY 2022<\/h5><\/div><\/div><div class=\"elementor-element elementor-element-5ed07e9 elementor-widget elementor-widget-heading\" data-id=\"5ed07e9\" data-element_type=\"widget\" data-widget_type=\"heading.default\"><div class=\"elementor-widget-container\"><h5 class=\"elementor-heading-title elementor-size-default\">Background :-<\/h5><\/div><\/div><ul><li>As per clause (iv) of section 28 of the Act, the value of any benefit or perquisite, whether convertible into money or not, arising from business or exercise of profession is to be charged as business income in the hands of the recipient of such benefit or perquisite.<\/li><li>However, in many cases, such recipients do not report the receipt of benefits in their return of income, leading to furnishing incorrect particulars of income.<\/li><li>Accordingly, in order to widen and deepen the tax base, it was proposed to insert a new section 194R to the Act to provide that the person responsible for providing to a resident, any benefit or perquisite liable to deduct TDS under this section<\/li><\/ul>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-698d69d elementor-widget elementor-widget-text-editor\" data-id=\"698d69d\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t<table width=\"737\"><tbody><tr><td width=\"260\">Section<\/td><td width=\"477\">194R<\/td><\/tr><tr><td width=\"20\">Deductor<\/td><td width=\"477\">Any person other Any person other than an individual or HUF whose Total Sales, Gross Receipts\/Turnover does not exceed Rs. 1 cr. In case of Business or Rs.50 Lac in case of Profession during the FY immediately preceding FY in which such benefit\/perquisite is provided by such person.than an individual or HUF whose Total Sales, Gross Receipts\/Turnover does not exceed Rs. 1 cr. In case of Business or Rs.50 Lac in case of Profession during the FY immediately preceding FY in which such benefit\/perquisite is provided by such person.<\/td><\/tr><tr><td width=\"260\">Deductee-Resident\/Non Resident\/Both<\/td><td width=\"477\">Resident<\/td><\/tr><tr><td width=\"260\">Nature of Payment<\/td><td width=\"477\">Nature of Payment<\/td><\/tr><tr><td width=\"260\">Nature of Payment<\/td><td width=\"477\"><p>TDS on Benefit\/<\/p><p>Perquisite* in respect of Business\/Profession<\/p><p>(*whether convertible in money or not but if wholly in kind or partly in cash and partly in kind and such part in cash is not sufficient to meet the liability of deduction of tax, the deductor, before releasing the benefit or perquisite, ensure that tax required to be deducted has been paid in respect of the benefit or perquisite.<\/p><\/td><\/tr><tr><td width=\"260\">Threshold\u00a0\u00a0 (In INR)<\/td><td width=\"477\">20,000<\/td><\/tr><tr><td width=\"260\">TDS Rate<\/td><td width=\"477\">10%<\/td><\/tr><tr><td width=\"260\">Remarks<\/td><td width=\"477\"><p>Circular(12 of 2022) by department<\/p><p>giving FAQ<\/p><p>(Attached herewith)<\/p><\/td><\/tr><\/tbody><\/table><p><span style=\"color: #0000ff;\"><a style=\"color: #0000ff;\" href=\"http:\/\/localhost\/new\/uja.in-de\/wp-content\/uploads\/2022\/09\/circular-no-12-2022.pdf\">Complete circular attached<\/a><\/span><\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<\/div>\n\t\t","protected":false},"excerpt":{"rendered":"<p>As per clause (iv) of section 28 of the Act, the value of any benefit or perquisite, whether convertible into money or not, arising from business or exercise of profession is to be charged as business income in the hands of the recipient of such benefit or perquisite.<\/p>\n","protected":false},"author":1,"featured_media":3572,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"elementor_header_footer","format":"standard","meta":{"_joinchat":[],"footnotes":""},"categories":[8],"tags":[],"class_list":["post-3519","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-tax"],"_links":{"self":[{"href":"https:\/\/uja.in\/de\/wp-json\/wp\/v2\/posts\/3519","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/uja.in\/de\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/uja.in\/de\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/uja.in\/de\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/uja.in\/de\/wp-json\/wp\/v2\/comments?post=3519"}],"version-history":[{"count":0,"href":"https:\/\/uja.in\/de\/wp-json\/wp\/v2\/posts\/3519\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/uja.in\/de\/wp-json\/"}],"wp:attachment":[{"href":"https:\/\/uja.in\/de\/wp-json\/wp\/v2\/media?parent=3519"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/uja.in\/de\/wp-json\/wp\/v2\/categories?post=3519"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/uja.in\/de\/wp-json\/wp\/v2\/tags?post=3519"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}