Business promotion expense

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Anu Elizabeth Shaju (Querist)
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17 April 2013 the firm incurred a business promotion expense amounting to rs 75600 for printing invitation cards as per our requirements.
is there any need to deduct tds on this bill??
we have a contract with the printing company for another expense of the firm namely printing charge..
pls help me?

CA.Sourabh Sethia

CA.Sourabh Sethia (Expert)
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19 April 2013 if the Cards are supplied by you for printing invitation cards then the same is covered in Job work

and Tds is to be deducted on the same

but if the Card & Printing both is done by the Priniting Co. then the same is sale contract and therefore no TDS is required to be deducted

if the firm is billing you for Printing Charge and the same is on regular basis and the amount is above the Limit then TDS is required U/s 194C

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Anu Elizabeth Shaju

Anu Elizabeth Shaju (Querist)
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19 April 2013 thank u so much....it was really helpful

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C A S.S.Agarwal, M.Com.,LL.B,

C A S.S.Agarwal, M.Com.,LL.B, (Expert)
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03 June 2013 If you have contract of any nature then you are bound to deduct TDS u/s 194C but if you have gone to the shop of the printer and has lifted the goods which he already printed and kept for sale then it is not a contract but anything specifically designed and printed for you is a contract and you have to deduct TDS.

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