Deduction of income-tax at source--Section 194D of the Income-tax Act, 1961--Deduction from insurance commission, etc.--Financial year 1980-81 - Income Tax - 271/1980

Deduction of income-tax at source--Section 194D of the Income-tax Act, 1961--Deduction from insurance commission, etc.--Financial year 1980-81 Circular No. 271 Dated 26/5/1980 From S.R. Wadhwa, Director, Central Board of Direct Taxes. To All Insurance Companies. Subject : Deduction of income-tax at source--Section 194D of the Income-tax Act, 1961--Deduction from insurance commission, etc.--Financial year 1980-81. Sir, I am directed to invite a reference to this Department's Circular No. 254 (F.No. 275/28/79-ITB) dated the 23rd May, 1979 (See [1981] 129 ITR (St.) 41) on the subject of deduction of income-tax from insurance commission, etc., during the financial year 1979-80. 2. The Finance Act, 1980, prescribes the same rates for deduction of tax from "insurance commission, etc." during the financial year 1980-81, as were in force during the financial year 1979-80. Hence, tax at source from insurance commission, etc., may continue to be deducted at the same rates as are given in Part II of the First Schedule to the Finance Act, 1979. 3. These instructions may please be brought, to the notice of all concerned. Yours faithfully, (Sd.) S.R. Wadhwa Director, Central Board of Direct Taxes.