TDS on Advertisement Contract

This query is : Resolved

Hersh Jani (Querist)
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11 December 2008 Dear Sir,
One of my client has not deducted TDS from advertisemnt expenses for giving sponsership in exibition. I think the case is clearly covered by the circullar and the assessee needs to deduct TDS. But is there any way to save him? are there any judgements in his favour? Can you provide me few?

Thanks You

CA Hemant T Dewani

CA Hemant T Dewani (Expert)
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11 December 2008 if expenses are debited to p&l a/c & payments are made in excess of rs.20000/-at one time or rs.50000/-or more made during the year then you are liable to deduct tds otherwise it is added in your income & in next year you will deduct tds & get deduction as expenses in the computation of income