CA NeWs Beta*: TDS on Teaching Fee to visiting CA Faculty

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Sunday, June 21, 2015

TDS on Teaching Fee to visiting CA Faculty

This indeed is a sour point with many visiting professors. Section 194J contemplates deduction of tax from fees for professional and technical services. When you offer your teaching services, you are not offering any professional services because teaching is not one of the professions covered by Section 194J. That you are a
CA does not alter the position because had you been paid for doing audit or giving tax consultancy it would have been a professional service but teaching isn't. In fact, the institutes that insist on deducting tax from fees paid to visiting faculties do not discriminate between a professor armed with a professional degree and others. My own view is there is nothing in Section 194J which warrants deduction of tax from fees to visiting lecturers.

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