16 September 2011
Sir, TDS on advertisement contract from a company is deducted at 1% not 2%.Does this qualify as disallowance u/s40(a)(ia).If it does only the full amount must be disallowed as there is nothing mentioned on disallowance made on %basis i.e in this case disallowing 50% of the expenditure because only 1% is deducted.
CAclubindia
