Section 111C: Payer to deduct tax

111C. Payer to deduct tax (1) Subject to the other provisions of this section, every payer shall, at the time any amount or sum referred to in section 111B is made available to the payee, deduct income tax from the amount or sum so made available at the appropriate rate specified in the Sixth Schedule. (1A) No income tax shall be deducted under this Sub-part, where the amount of tax to be deducted is less than 500 rupees. I5 – 61 [Issue 9] Income Tax Act (2) — (3) — (4) Where interest referred to in section 111B (a), royalties referred to section 111B (b) and payments to an entertainer or sportsperson referred to in section 111B (j) are payable to a non-resident, the income tax to be deducted shall be at the rate specified in the Sixth Schedule or at the rate specified under any arrangement for relief from double taxation which is in force between Mauritius and the foreign country where the payee is resident, whichever is the lower. (5) Where income tax is deducted from the interest, payments to an entertainer or sportsperson, or royalties in an income year under subsection (4), the amount of tax so deducted shall be deemed to be the final amount of tax payable in respect of the interest, payments to the entertainer or sportsperson, or royalties for that income year. (6) This section shall apply notwithstanding whether payments or transfers referred to in section 111B (j) are made directly to the non-resident entertainer or sportsperson or through an agent. [S. 111C inserted by s. 18 (zl) of Act 15 of 2006 w.e.f. 1 October 2006; amended by s. 15 (i) of Act 18 of 2008 w.e.f. 19 July 2008; s. 10 (h) of Act 20 of 2009 w.e.f. the year of assessment commencing on 1 January 2011; s. 8 (zd) of Act 37 of 2011 w.e.f. 1 January 2012; s. 12 (m) of Act 26 of 2012 w.e.f. 1 January 2013; s. 9. (l) of Act 26 of 2013 w.e.f. 21 December 2013; s. 27 (n) of Act 18 of 2016 w.e.f. 1 October 2016.]