Explanation
Section 194E of IT Act 1961 (consolidated under §393/§395 in IT Act 2025) requires any person paying a non-resident sportsman or entertainer to deduct TDS at 20% on: income from participating in any game/sport in India, advertising, contribution to newspapers/journals. No minimum threshold — TDS applies from the first rupee. Applies to: non-resident individual sportsman, non-resident sports association/institution. If DTAA provides a lower rate, the DTAA rate applies (verify DTAA applicability with Form 10F). Verify on the income-tax portal before filing.