Section 194R — Benefits or Perquisites of Business / Profession

# Section 194R — TDS on Benefits / Perquisites arising from Business or Profession

## Who deducts?

Any person except Individual / HUF with previous year's business turnover ≤ ₹1 cr / profession receipts ≤ ₹50 L.

## Payee

Resident.

## What is covered?

Any benefit or perquisite (whether convertible into money or not) given to a person arising from business or exercise of profession (e.g., free foreign trip, sponsored gifts to doctors, free product samples, etc.).

## Threshold

Aggregate value > ₹20,000 in a financial year.

## Rate

10%.

## Notes

• If perquisite is in kind, the deductor must ensure tax is paid before releasing the benefit (recipient may have to deposit tax in advance).