The recipient of income on which TDS is to be deducted can apply to the assessing authority for a certificate for lower or no deduction. The conditions for which such certificate can be issued are
1. Such lower or no deduction should apply only to TDS under sections 192, 193, 194, 194A, 194C, 194D, 194G, 194H, 194I, 194J, 194K, 194LA or 195.
2. If the recipient does not have PAN then he cannot apply for certificate under section 197.
3. Application is to be made in Form no. 13.
4. The certificate of lower rate shall be issued on plain paper directly to the person responsible for paying income to such recipient. [Except for entities covered by rule 28AB]
5.Such certificate cannot be issued with retrospective effect.
Assessing officer shall consider the provisions given under rule 28AA before issuing a certificate under section 197. Assessing officer has to give the reasons if he rejects the application.