Tax Deduction at Source (TDS) under Section 194LBA - Income Tax - Ready Reckoner - Income Tax

Tax Deduction at Source (TDS) under Section 194LBA Unit Holders Rate of TDS In case of Interest Resident Payee 10% Non-Resident/Foreign Company 5% In case of Dividend Resident Payee 10% Non-Resident/Foreign Company 10% In case of Rental Income, REIT to deduct tax Resident Payee 10% Non-Resident/Foreign Company Rate in force Where any distributed income referred to in section 115UA , being of the nature referred to in section 10(23FC) , is payable by a business trust to its unit holder being a resident, the person responsible for making the payment shall at the time of credit of such payment to the account of the payee or at the time of payment thereof in cash or by the issue of a cheque or draft or by any other mode, whichever is earlier, deduct income-tax thereon at the rate of 10%. Where any distributed income referred to in section 115UA , being of the nature referred to section 10(23FC) , is payable by a business trust to its unit holder, being a non-resident or a foreign company, the person responsible for making the payment shall at the time of credit of such payment to the account of the payee or at the time of payment thereof in cash or by the issue of cheque or draft or by any other mode, whichever is earlier, deduct income-tax thereon at the rate of 5%. Withholding tax of 5% on interest paid by business trust on external commercial borrowing In case of external commercial borrowings by the business trust, the benefit of reduced rate of 5% tax on interest payments to non-resident lenders shall be available in section 194LC . The interest form External Commercial Borrowings shall be taxable @ 5% under section 115A in hands of non-resident and foreign company.