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TaxTMI 
Tds on crane hire charges - 194C or 194I
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....ds on crane hire charges - 194C or 194I<br> Query (Issue) Started By: - madhavvan Dated:- 6-6-2009 Last Reply Date:- 8-2-2016 Income Tax<br>Got 8 Replies<br>Income Tax<br>crane hire charges payments tds to deducted as per contractor 194C. or under Sec 194I Reply By Ravi Chopra: The Reply: After an amendment in 2007 in section 194I, rent on plant, machinery or equipment is subject to TDS at the r....
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....ate of 10%. Therefore, crane hire charges is subject to TDS under section 194I. Reply By Sanjeev Kinger: The Reply: It is not clear from querry that whether you have hired a crane or you have entred in contact. If the assests is in your control and you are oprateing the same then it will cobvreed U/S 194I or if you have given a some work to a contractor and the control of assests is also with hi....
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....m then it will covred U/S 194C Reply By Rajesh Kumar Singh: The Reply: sir, crane hire charges payments tds to deducted from contractor including service tax or excluding3 Rajesh Singh Reply By TRILOCHAN SAHU: The Reply: Yes Even in our construction company we deduct 2% TDS on gross amount (Including ST or VAT) on Crane Hire Charge u/s 194I, as crane is coming under plant & machinery. Reply....
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.... By PRADIP SARKAR: The Reply: If u contract from Xyz with contract paper then 194c will applicable otherwise section 194I Reply By TRILOCHAN SAHU: The Reply: Even then you cant avoid the section 194I as it is a specifically meant for rental or hire charges. Reply By RAMDAS IYER: The Reply: if it is a "contract for work" using the crane and the crane is operated by the person who hires it to y....
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....ou, then the transaction will attract TDS u/s 194C at 2% On the other hand, if it is hire of crane simpliciter, ie, the crane is given in your possession and control and you operate it, it will attract TDS u/s 194I Ramdas Iyer Reply By RANGANATHA THAPASWI: The Reply: Thanks for all Experts. Ranganath T<br> Discussion Forum - Knowledge Sharing ....