05 March 2009
say company X has distributors in various areas and company X has agreed with such distributors to appoint persons themselves for marketing company products in market and salary expenses of all marketing people will be reimbersed by company X and billing made by distributor to compny are seperate for distributor's commission and salary claim, my doubt is whether from company X point of view i can consider this transaction as contract given to distributors as supply of labour and deduct tds accordingly in 94c and give reference of any case law
05 March 2009
First clarify whether these employees are employed under Company X or under the distributor, as in lot of cases they are the employees on the payroll of Company while they work under the distributors.