Tds under 194c or 194j
This query is : Resolved
01 November 2012
For FY 12-13, we need to deduct TDS on payments made to a Pathology Labs for services rendered by them for testing of blood samples.
Payments are to be made in excess of Rs.30,000/- for the FY.
There is no physical Contract for Services to be rendered between the Medical Lab and the Company.
Under what Section is TDS to be deducted (194C ie 1% or 194J ie 10%) ?
Is a Contract mandatory for deducting TDS under 194C?
Please advise..
Payments are to be made in excess of Rs.30,000/- for the FY.
There is no physical Contract for Services to be rendered between the Medical Lab and the Company.
Under what Section is TDS to be deducted (194C ie 1% or 194J ie 10%) ?
Is a Contract mandatory for deducting TDS under 194C?
Please advise..
01 November 2012
Dear Raj,
As per Section 194J. (1) Any person, not being an individual or a Hindu undivided family, who is responsible for paying to a resident any sum by way of—
(a) fees for professional services, or
(b) fees for technical services
Further as per Explanation read with Section 44AA Professional services means Every person carrying on legal, medical, engineering or architectural profession or the profession of accountancy or technical consultancy or interior decoration or any other profession as is notified by the Board in the Official Gazette.
so here your transaction would be covered under Section 194J, not in Section 194C.
Further no Contract in physical is required to to fall under Section 194C. Only transaction need to be analysed as per Section 194C , if it is falling under this . Than only this would be applicable.
Hope it will satisfy your need, in case of further query u can contact me on 9999859176
As per Section 194J. (1) Any person, not being an individual or a Hindu undivided family, who is responsible for paying to a resident any sum by way of—
(a) fees for professional services, or
(b) fees for technical services
Further as per Explanation read with Section 44AA Professional services means Every person carrying on legal, medical, engineering or architectural profession or the profession of accountancy or technical consultancy or interior decoration or any other profession as is notified by the Board in the Official Gazette.
so here your transaction would be covered under Section 194J, not in Section 194C.
Further no Contract in physical is required to to fall under Section 194C. Only transaction need to be analysed as per Section 194C , if it is falling under this . Than only this would be applicable.
Hope it will satisfy your need, in case of further query u can contact me on 9999859176
Message likes :
2 times
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now
Click here to login now
Similar Resolved Queries
Unanswered Queries
- Inventory of finished goods
- Disallowance of Section 43B(h) to sez units
- Sale of property furniture sale
- REGARDING 25 AS DATE OF PAYMENT AND DATE OF BOOKING
- GST Regis.
- Confusion around Form 26QB fields
- RCM INVOICING FROM NOV-2024
- Quiery in relation to GST liability in case of an advocate who has obtained GST registration.
- Clarification on Documentation of Paid-Up Capital Contribution by Directors
- Tds on building rent monthly
- As per schedule III of balance sheet how to pass journal entry
- Is correct way to find out capital of individual on 31st March
- Individual capital equal to which assets of balance sheet
- LAST YEAR 2022-23 ITC IN NEXT YEAR 2023-24 REPORITNG IN GSTR-9
- MIS MATCH OF INVOICE NUMBER
- IGST Credit-Show cause notice issued-confusion
- Issue of gst e invoice
- How to adjusted advances given or receipt
- Foreign vendor without PAN unable to to register due to non receipt of OTP on foreign number ?
- 133(6) DIN INVALID format error - ->WHERE TO REPLY 133(6) notice?
Trending Online Classes
CAclubindia
