31 October 2013
We are engaged in a business of freight forwarders where we take a order from customer ( i,e exporter / debtor ) to export goods to foreign countries and the same we forward the order to a other freight forwarder / or shipping company ( i,e. creditor / supplier )
Know my question is whether we suppose to deduct a TDS under sec 194C 2% & if yes than on which amount ? Invoices which we received is consist of 2 heads A> Taxable charges + service tax B> Non taxable charges without service tax
Taxable Charges examples : Clearing & forwarding + service tax AC shipping charges + service tax D V fair charges + service tax Transport charges Etc………………..
Non Taxable Charges examples : Air / or Ocean freight Due Agent Due carrier IAAI charges Etc………………….
Further under Non- taxable we only received a bill of lading copy / or air way bills which consist of All Non Taxable items ( of above said items ) which may be different in amount
Example Air Freight is Rs 85000/- as per airway bill / or bill of lading But in Invoice which received from my creditor shows Rs 75000/- in her Invoice issued to me. Or vise-a versa
31 October 2013
1)if he is claiming any amount as a re-imbursment of out of pocket expences in a seperate bill providing original bills paid by him . . then no tds applicable on these re-imbursements,rest tds applicable . . 2)otherwise tds applicable on all value
01 November 2013
it looks like he is claiming in a single invoice . . TDS can be done for full amount of invoice if he fails to claim re-imbursement expences along with original bills paid by him
CAclubindia
