04 March 2011
good morning to all expert , plz tell me one thing about tds rule. they are gicen below 1- we hire a consultant . for our legal services . now sir plz tell me will we deduct tds from his amt. while he have a pen card. 2- we hire a contractor . for our printer repairing service . now sir plz tell me will we deduct tds from his amt. while he have a pen card.
bcoz sir my doubt is this that if a men have pen card that we will not deduct tds from his amt. than sir will this rule applicable these services or only applicable only transport.
04 March 2011
You have to deduct TDS on legal services and from contractor if the payment is more than threshold limit. PAN card is a must for all including transporters. If there is no PAN card rate of deduction is 20%. Otherwise it is normal rate. As regards transporter no tax is to be deducted only if he has a PAN card.
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