Tax deducted at source by customer for freight paid

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Ahsan Mansoori (Querist)
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12 December 2007
Hi its me Ahsan Mansoori,

A trader in goods, issue sales invoice along with freight amount included in the same, can the customer deduct TDS on purchase freight paid on such sales by trader,

If yes whether the payer of such freight should be a non individual(i.e)company or Firm.

and for which freight payment should be more than Rs.20,000

Devendra Mishra

Devendra Mishra (Expert)
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13 December 2007 AS this type of frieght payment is made by the supplier on the customers behalf it is nothing but Reimbursement and hence no TDS is required to be deducted on it.