TDS 194C(6) Transporter Declaration Format

Last Updated: October 2026

Standard statutory declaration format for non-deduction of TDS on freight payments under Section 194C(6) of the Income Tax Act, 1961.

Small transport operators owning 10 or fewer goods carriages can submit this declaration along with a self-attested PAN card copy to receive 100% full freight payouts without 1% or 2% TDS deductions.

Statutory Rule

Section 194C(6) amended by Finance Act 2015.

Eligibility

Transporter owning ≤ 10 goods carriages throughout the FY.

TDS Rate

0% (Nil deduction) upon furnishing declaration & PAN.

Key checklist items

Valid Permanent Account Number (PAN)
Vehicle registration numbers listed
Signed on letterhead or stamp paper
Mandatory verification clause included

Statutory Declaration Format (Copy & Print)

Print the following declaration on your transport agency letterhead and deliver a signed copy to the consignor, factory, or freight broker making freight payments.

[PRINT ON TRANSPORTER LETTERHEAD]

DECLARATION UNDER SECTION 194C(6) OF THE INCOME TAX ACT, 1961 FOR NON-DEDUCTION OF TDS

To,
[Name of Consignor / Freight Broker / Payer Company]
[Address line 1]
[City, State, PIN Code]

Subject: Declaration for non-deduction of Tax at Source (TDS) under Section 194C(6) of the Income Tax Act, 1961 for Financial Year 2026-2027.

Dear Sir/Madam,

I/We, [Name of Proprietor / Partner / Director], representing M/s. [Transport Business Name], having registered office at [Full Transport Agency Address], do hereby solemnly declare and affirm as under:

That I/We are engaged in the business of plying, hiring, or leasing goods carriages for transportation of goods by road.
That my/our Permanent Account Number (PAN) is [INSERT PAN NUMBER] (self-attested copy attached herewith).
That I/We do not own more than ten (10) goods carriages at any time during the Financial Year 2026-2027 (Assessment Year 2027-2028).
That the list of goods carriages owned by me/us along with vehicle registration numbers is provided below:

S.No.	Vehicle Registration Number	Type of Goods Vehicle (Gross Weight)
1.	[e.g. RJ-27-GA-1234]	Multi-Axle Truck (28 Ton)
2.	[e.g. RJ-27-GB-5678]	6-Wheeler LCV (11 Ton)
3.	[Vehicle 3 No.]	[Vehicle Type]
4.	[Vehicle 4 No.]	[Vehicle Type]

That in the event the number of goods carriages owned by me/us exceeds ten at any point during the current financial year, I/we undertake to immediately notify you in writing so that tax may be deducted under Section 194C as applicable.
That in view of the above declaration and in compliance with Section 194C(6) of the Income Tax Act, 1961, no tax should be deducted at source from freight payments made to me/us.

Date: [DD/MM/YYYY]

Place: [City Name]

For [Transport Business Name]

(Authorized Signatory / Proprietor / Partner)

Name & Contact: [Phone Number]

VERIFICATION

I, the above-named deponent, do hereby verify that the contents of paragraphs 1 to 6 above are true and correct to the best of my knowledge and belief, and no material fact has been concealed therein.

Legal Guidelines for Section 194C(6) Compliance

Requirement	Rule under Income Tax Act	Consequence of Non-Compliance
Max Truck Ownership	Not more than 10 goods carriages at ANY time in the financial year.	If 11th truck is purchased, exemption ceases from date of purchase.
Mandatory PAN Submission	Transporter must furnish PAN along with written declaration.	If PAN is not provided, 20% penal TDS under Section 206AA.
Reporting in Form 26Q	Payer must report the PAN and nil-TDS transaction in quarterly Form 26Q.	Penalty of ₹200/day under Section 234E for late quarterly filing.
Documentation Retention	Payer must preserve signed declaration and PAN copy for minimum 6 years.	30% disallowance of freight expenses under Section 40(a)(ia) upon audit.

Frequently Asked Questions

What is Section 194C(6) declaration for transporters? Section 194C(6) of the Income Tax Act provides that no tax deduction (0% TDS) shall be made from payments to a transport contractor engaged in the business of plying, hiring, or leasing goods carriages, provided the contractor owns not more than 10 goods carriages at any time during the previous year and furnishes a declaration to that effect along with their PAN.

On what stamp paper or letterhead should the 194C(6) declaration be submitted? The declaration can be submitted on the official business letterhead of the transporter or fleet owner, duly signed and stamped by the proprietor, partner, or authorized signatory. While stamp paper is not statutorily mandatory under Section 194C, some large corporate consignors require it on ₹50 or ₹100 non-judicial stamp paper.

How does TruckBill manage 194C(6) declarations? TruckBill automatically attaches verified PAN copies and 10-truck declarations to carrier profiles, exempting eligible freight settlements from TDS while maintaining complete audit logs for Form 26Q filing.