55[No deduction to be
made in certain cases.
56197A. 57(1) Notwithstanding
anything contained in 58[***] section 194 59[***] 60[or section 194EE], no deduction of tax shall be made
under any of the said sections in the case of an individual, who is resident in
India, if such individual furnishes to the person responsible for paying any
income of the nature referred to in 61[***] section 194 62[63[***] or, as the case
may be, section 194EE], a declaration in writing
in duplicate in the prescribed form and verified in the prescribed manner to
the effect that 64[the tax on
his estimated total income of the previous year in which such income is to be
included in computing his total income will be nil.]
65[(1A) Notwithstanding
anything contained in 66[section 193 or] section
194A or section 194K, no deduction of tax
shall be made under 67[any] of
the said sections in the case of a person (not being a company or a firm), if
such person furnishes to the person responsible for paying any income of the
nature referred to in 66[section 193 or] section
194A or section 194K, as the case may be, a
declaration in writing in duplicate in the prescribed form and verified in the
prescribed manner to the effect that the tax on his estimated total income of
the previous year in which such income is to be included in computing his total
income will be nil.]
68[(1B) The provisions
of this section shall not apply where the amount of any income of the nature
referred to in sub-section (1) or sub-section (1A), as the case may be, or the
aggregate of the amounts of such incomes credited or paid or likely to be credited
or paid during the previous year in which such income is to be included exceeds
the maximum amount which is not chargeable to income-tax.]
69[(1C) Notwithstanding
anything contained in section 193 or section 194 or section 194A
or section 194EE or section
194K or sub-section (1B) of this section, no deduction of tax shall be made
in the case of an individual resident in India, who is of the age of sixty-five
years or more at any time during the previous year 70[***], if such
individual furnishes to the person responsible for paying any income of the
nature referred to in section 193 or section 194 or section 194A
or section 194EE or section
194K, as the case may be, a declaration in writing in duplicate in the
prescribed form71 and
verified in the prescribed manner to the effect that the tax on his estimated
total income of the previous year in which such income is to be included in
computing his total income will be nil.]
72[(1D)
Notwithstanding anything contained in this section, no deduction of tax shall
be made by the Offshore Banking Unit from the interest paid—
(a) on deposit made on or after the 1st day of
April, 2005, by a non-resident or a person not ordinarily resident in India; or
(b) on borrowing, on or after the 1st day of
April, 2005, from a non-resident or a person not ordinarily resident in India.
Explanation.—For the
purposes of this sub-section “Offshore Banking Unit” shall have the same
meaning as assigned to it in clause (u) of section 2 of the Special
Economic Zones Act, 200573.]
74[(1E)
Notwithstanding anything contained in this Chapter, no deduction of tax shall
be made from any payment to any person for, or on behalf of, the New Pension
System Trust referred to in clause (44) of section
10.]
(2) The person responsible for paying any income of
the nature referred to in sub-section (1) 75[or sub-section (1A)] 76[or sub-section (1C)]
shall deliver or cause to be delivered to the 77[Chief Commissioner or
Commissioner] one copy of the declaration referred to in sub-section (1) 78[or sub-section (1A)] 79[or sub-section (1C)]
on or before the seventh day of the month next following the month in which the
declaration is furnished to him.]
