The Central Government hereby notifies
that no
deduction of tax shall be made on the following payments made
by a person to a bank listed in the Second Schedule to the Reserve Bank
of India Act, 1934, excluding a foreign bank, or to any payment systems company
authorised by the Reserve Bank of India under Sub-section (2) of
Section 4 of the Payment and Settlement Systems Act, 2007.
1. Bank guarantee commission
2. Cash management service charges
3. Depository charges on maintenance of DEMAT
accounts
4. Charges for warehousing services for
commodities
5. Underwriting service charges
6. Clearing charges (MICR charges) including
interchange fee or any other similar charges by whatever name called charged at
the time of settlement or for clearing activities under the Payment and
Settlement Systems Act, 2007
7. Credit card or debit card commission for
transaction between merchant establishment and acquirer bank.
This notification shall come into force
from the date of its publication in the Official Gazette
