Yes - TDS is applicable as society is an AOP .

--- On Sun, 26/4/09, Visvanathan Sivaraman <[email protected]> wrote:

> From: Visvanathan Sivaraman <[email protected]>
> Subject: Fwd: TDS by a residence welfare assn. URGENT
> To: [email protected]
> Date: Sunday, 26 April, 2009, 6:53 AM
> 
> Dear all,
> 
> A flat owners association has to be regd under societies
> regn act when there are more than 20 members or the
> contribution is more than Rs.20,000.00
> 
> 
> How ever as there are no income and the expenses on common
> area maintenance and utilities like water, electricity,
> security etc are met by the contribution from the members on
> specific proportion. Hence the provisions of Income tax
> return filing and PAN does not apply.
> 
> 
> Now the association wants to undertake a major maintenance
> work of painting etc which will be met out of accumulated
> contribution and additional contribution. Does the assn have
> to deduct TDS u/s 194C? Is there any exemption since there
> are no business activity involved.
> 
> 
> 
> 
> sivaraman
> 
> 
> 
> 
> 
> > 
> 
> 
> 


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