In tax year 2026-27, a company rents a showroom from a resident company for ₹20,000 a month. How much tax must it deduct on this rent under section 393(1) of the Income-tax Act, 2025?

Under item 2 of the Table in section 393(1), tax is deducted from rent for land or a building only where the rent exceeds ₹50,000 for a month or part of a month. Rent of ₹20,000 a month is below that limit, so no tax is deducted; the threshold is applied to the monthly rent, not to the yearly total of ₹2,40,000. ₹24,000 would be 10% of the annual rent.