Property Maintenance Agreement
Querist :
Anonymous
(Querist) 23 June 2011
This query is : Resolved
There is seperately executed property maintenance agreement for monthly rent in addition to the lease agreement for the same propertly.
Just wanted to know the treatment for the purpose of TDS.
I feel the property maintenance agreement is not a rental agreement and somwhat akin to the AMC.
Hence TDS will be deducted u/s 194(c) and not 194(I).
Am I correct in the interpretation.
abhishek
(Expert) 23 June 2011
please read the explanation clause (iv)to section 194 (c) defining the expression work, you will get the answer for your query.
Querist :
Anonymous
(Querist) 23 June 2011
Thanks,still I have a little doubt because of the following.
The nature of maintenance agreement reads as
1st party shall strictly abide by all the required safety complainces to carry out maintenance services.
2nd party agrees to idemnify and hold the second party harmless frmo any loss, damage, loss, claim, costs or expenses of any king including reasonable attorney fee.
The duties of parties there is mention that - on request of 1st party the 2nd party has agreed to provide all maintenance services and facilities (including rent, maintenance of AC, Fans, DG set, water supply system, major structural repairs of building on monthly fee of Rs.XXXX)
Whether still this wouls fall under that explnation.
Kindly help.
