website creation - whether 194C or 194J

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

14 December 2009 the website company has designed and developed Website for our client's business, Please let me know whether the client should deduct tax under 194J or 194C.

Also plz. explain....

Thanking you

Amol Gopal Kabra (CA,CS,DISA)

Amol Gopal Kabra (CA,CS,DISA) (Expert)
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14 December 2009 Development of a website is a technical service. So, in this regard, tax has to be deducted u/s 194J and not 194C.

Querist : Anonymous

Querist : Anonymous (Querist)

14 December 2009 cann't it be taken as a contract for creation of website, as this would be work done under contract.

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Querist : Anonymous

Querist : Anonymous (Querist)

14 December 2009 cann't it be taken as a contract for creation of website, as this would be work done under contract

Guest

Guest (Expert)

17 December 2009 No, you can't be treated as Contractor because website developer have special technicians(MCA or software developers)for website development, so their bills cover under professional fees and you should be deduct TDS as per U/s 194J.