XYZ Co. Ltd has a contract of service with Mr. A for the value Rs. 1 Lac.
Work is undertaken and contract is completed.
However at the time of making the payment, Rs 1 Lac is received partly from Mr. A , Mr. B & Mr. C and they have also issued a TDS Certificate for the respective amounts.
(Mr. B & Mr. C were not involved and were not a participants in the contract agreement but had interest in the contract and hence made the payment)
My query is can XYZ Co. Ltd claim such TDS from Mr B & Mr. C. against which in his books he doesn't have any sale to Mr B & Mr. C as the Sales Invoice was raised on Mr. A.
17 March 2011
No, how it is possible. If XYZ Co. is not showing any income from Mr B. & C how the co. can claim the TDS. XyZ co. can claim the Mr. A's TDS only.
CAclubindia
