Section 194D of the Income-tax Act, 1961--Deduction of tax at source from insurance commission during the financial year 1993-94--Instructions regarding

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....ome-tax Act, 1961, were communicated. 2. According to the provisions of section 194D, any person paying to a resident any income by way of remuneration or reward, whether by way of commission or otherwise for soliciting or procuring insurance business (including business relating to the continuance, renewal or revival of insurance policies) is required to deduct at the time of actual payment or at the time of credit of such income, whichever is earlier, income-tax at the rates in force. However, no such deduction is required to be made in a case where the amount of such income or the aggregate amount of such income paid or credited during the financial year does not exceed Rs.  5,000. 3. There is no change in the rates for deduct....

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....in Form No. 13, to the Assessing Officer. Where any such certificate is given, the person responsible for paying the insurance commission shall deduct income-tax at the rates specified in such certificate or deduct no tax, as the case may be. 6. The responsibilities, obligations, etc., under the Income-tax Act, of the person deducting tax at source are as follows :_ (a) According to the provisions of section 200, any person deducting any sum in accordance with the provisions of section 194D shall pay, within the prescribed time (as laid down in rule 30 of the Income-tax Rules, 1962), the sum so deducted to the  credit of the Central Government. In the case of deduction by, or, on behalf of the Government, the sum has to be paid o....

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.... which payment is made by any mode, as the case may be. The certificate should be issued in Form No. 16A (copy at annexure I) by the tax deductor on his own stationery. If a person fails to issue the certificate prescribed by section 203, he shall be liable to pay by way of penalty, under section 272A(2), s sum which shall not be less than Rs. 100 but which may extend to Rs. 200 for each day during which the failure continues. (c) According to the provisions of section 203A of the Income-tax Act, it is obligatory for all persons responsible for deducting tax at source to obtain and quote the tax deduction account number (TAN) in the challans, TDS certificates, returns, etc. Detailed instructions in this regard are contained in the Board&....