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Section 206AA – TDS for Non – Providers of PAN

Any person entitled to receive any sum or income or amount, on which tax is deductible under Chapter XVIIB ( deductee ) shall furnish his Permanent Account Number to the person responsible for deducting such tax (deductor), failing which tax shall be deducted at the higher of the following rates, namely:—

(i) at the rate specified in the relevant provision of this Act; or

(ii) at the rate or rates in force; or

(iii) at the rate of 20 % ( For Section 194 & 194Q Rate is 5 %)


Section 206AA Non Applicability

The provisions of this section shall not apply to a non-resident, not being a company, or to a foreign company, in respect of—

(i) payment of interest on long-term bonds as referred to in section 194LC; and

(ii) any other payment subject to such conditions as may be prescribed.


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