TDS

This query is : Resolved

atul (Querist)
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04 November 2009 SIR AS PER THE NEW TDS RATE FROM 01.10.09 ON TRANSPORT CONTRACTOR WHERE NIL RATE TO BE APPLIED, WOULD LIKE TO KNOW WHILE PAYING TO A BOOKING AGENTS, TO WHO THE GOODS HAS BEEN HANDOVER TO MOVE FROM ONE PALACE TO ANOTHER, CAN WE GIVE THE NIL RATE BENEFIT TO THE BOOKING AGENTS AS OUR GOODS ARE BEING TRASNPORTED FROM ONE PLACE TO ANOTHER AND THE BILL RECEIVED IN THE NAME OF BOOKING AGENTS ( SHREE GANESH) AND HAS PAN NUMBER, WOULD LIKE TO KNOW IF NIL RATE TO BE DEDUCTED OR 2% NEED TO BE DEDUTED

CA SANJAY MUKHERJEE

CA SANJAY MUKHERJEE (Expert)
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05 November 2009 Nil rate of TDS is applicable only for payment to a Transport operator( i.e. in the business of plying,hiring,leasing of goods carriage).

So in my opinion payment to booking agents will be subject to TDS @ 1 % or 2% as the case maybe.

CA Deepak S

CA Deepak S (Expert)
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05 November 2009 The nil rate benefit is applicable in the case of all transport contracts. If the nature of transaction between you and the booking agent is of tranportation contract then, in my opinion, you need not deduct tax if PAN is obtained

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