Easy Office
LCI Learning

TAX DEDUCTION AT SOURCE.

This query is : Resolved 

04 November 2008 Our client has been paying Rs 10,000 pm to M/s Vimta labs towards testing of its raw materials.At what rate should TDS be deducted??

04 November 2008 194C.

04 November 2008 Why not u/s 194j???


04 November 2008 Why not u/s 194j???

04 November 2008 It may not be a Professioanl service, but a contractual service. Therefore 194C where it is just 1% whereas 194J will 10% which is very harsh.

04 November 2008

04 November 2008 But 194 is at 2% and not 1%.

04 November 2008 I do not recommend that the section be determined based on rates. It is based on the nature of work concerned. The question was merely testing of material. whether it was professional nature or not you will have to say. If you think it is professional in nature go ahead and pay accordingly.


04 November 2008 I was just clarifying dat 194 rate is 2% and not 1% which u stated earlier.

04 November 2008 194C(2) says 1% as per 2008 taxman.

04 November 2008 1% is TDS on advertisement contracts.

04 November 2008 its a techinal service TDs rate applicable 10.30%




You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now

CAclubindia's WhatsApp Groups Link


Similar Resolved Queries


loading


Unanswered Queries




Answer Query