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Navigating Section 194C: Tax Deduction at Source on|Income Tax Deduction on Contract Payments

Navigating Section 194C: Tax Deduction at Source on|Income Tax Deduction on Contract Payments

September 3, 2025 Category: Blog

Section 194C of the Income Tax Act, commonly referred to as TDS on contract payments, applies to individuals who provide contract services. It mandates a deduction of tax at source at the time of making any compensation exceeding certain thresholds to contractors. This provision seeks to regulate income movements and ensure timely tax adherence. D

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