Section 204 - Meaning of person responsible for paying - Income-tax Act, 1961

Meaning of person responsible for paying . 204. For the purposes of 1 [the foregoing provisions of this Chapter] and 2 section 285, the expression person responsible for paying means- ( i ) in the case of payments of income chargeable under the head Salaries , other than payments by the Central Government or the Government of a State, the employer himself or, if the employer is a company, the company itself, including the principal officer thereof; ( ii ) in the case of payments of income chargeable under the head Interest on securities , other than payments made by or on behalf of the Central Government or the Government of a State, the local authority, corporation or company, including the principal officer thereof; 3 [( iia ) in the case of any sum payable to a non-resident Indian, being any sum representing consideration for the transfer by him of any foreign exchange asset, which is not a short-term capital asset, the 9 [authorised person] responsible for remitting such sum to the non-resident Indian or for crediting such sum to his Non-resident (External) Account maintained in accordance with 7 [the Foreign Exchange Management Act, 1999 (42 of 1999)], and any rules made thereunder;] 11 [ (iib) in the case of furnishing of information relating to payment to a non-resident, not being a company, or to a foreign company, of any sum, whether or not chargeable under the provisions of this Act, the payer himself, or, if the payer is a company, the company itself including the principal officer thereof; ] ( iii ) 4 [in the case of credit, or, as the case may be, payment] of any other sum chargeable under the provisions of this Act, the payer himself, or, if the payer is a company, the company itself including the principal officer thereof. 6 [ ( iv ) in the case of credit, or as the case may be, payment of any sum chargeable under the provisions of this Act made by or on behalf of the Central Government or the Government of a State, the drawing and disbursing officer or any other person, by whatever name called, responsible for crediting, or as the case may be, paying such sum. ] 12 [ (v) in the case of a person not resident in India, the person himself or any person authorised by such person or the agent of such person in India including any person treated as an agent under section 163. ] 5 [ Explanation . - For the purposes of this section,- ( a ) non-resident Indian and foreign exchange asset shall have the meanings assigned to them in Chapter XII-A; 10 [(b) authorised person shall have the meaning assigned to it in clause (c) of section 2 of the Foreign Exchange Management Act, 1999 (42 of 1999).]].] ---------------------- Notes :- 1. Substituted for the portion beginning with the words sections 192 to 194 and ending with sections 195 to 203 by the Finance (No. 2) Act, 2004, w.e.f. 1-10-2004. Prior to its substitution, the quoted portion, as amended by the Finance (No. 2) Act, 1967, w.e.f. 1-4-1967, Finance Act, 1972, w.e.f. 1-4-1972, Finance Act, 1973, w.e.f. 1-4-1973, Finance Act, 1978, w.e.f. 1-4-1978, Direct Tax Laws (Second Amendment) Act, 1989, w.e.f. 1-11-1989, Finance (No. 2) Act, 1991, w.e.f. 1-10-1991, Finance Act, 1994, w.e.f. 1-6-1994, Finance Act, 1995, w.e.f. 1-7-1995 and Finance Act, 1999, w.e.f. 1-6-1999, read as under: sections 192 to 194, section 194A, section 194B, section 194BB, section 194C, section 194D, section 194E, section 194EE, section 194F, section 194G, section 194H, section 194-I, section 194J, section 194K, section 194L, sections 195 to 203 . 2. Section 285 has since been omitted by the Finance Act, 1987, w.e.f. 1-6-1987. 3. Inserted by the Finance Act, 1986, w.e.f. 1-6-1986. 4. Substituted for in the case of payments by the Finance (No. 2) Act, 1967, w.e.f. 1-4-1967. 5. Inserted by the Finance Act, 1986, w.e.f. 1-6-1986. 6. Inserted vide Finance Act, 2012, w.e.f. 01-07-2012. 7. Substituted vide Finance Act, 2013 w.e.f. April 1, 2014 , before it was read as the Foreign Exchange Regulation Act, 1973 (46 of 1973) . 8. Substituted vide Finance Act, 2013 w.e.f. April 1, 2014 , before it was read as the Foreign Exchange Regulation Act, 1973 (46 of 1973) . 9. Substituted vide Finance Act 2013 w.e.f. April 1, 2013 before it was read as authorised dealer . 10. Substituted vide Finance Act 2013 w.e.f. April 1, 2013 before it was read as ( b ) authorised dealer shall have the meaning assigned to it in clause ( b ) of section 2 of 8 [the Foreign Exchange Management Act, 1999 (42 of 1999)] 11. Inserted vide THE FINANCE ACT, 2017 w.e.f. 1st day of April, 2017. 12. Inserted vide Finance Act, 2020 dated 27-03-2020 w.e.f. 01-04-2020