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T.d.s. u/s.194c

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(Querist)
27 April 2012 Should we deduct t.d.s. before payment to Gram Panchayat for Advertisement Contract exceeding the limit of Rs.75000/-?. can section 196 or section 10(20) of the Income tax Act,1961 apply for no such tax should be deducted?
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CMA Ramesh Krishnan

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CMA Ramesh Krishnan (Expert)
29 April 2012 Payment to Government will not attract TDS. Gram panchayat also part of government bodies under Local bodies,so TDS not attract

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