02 January 2013
Dear sir, one of my client having printing press, he is printing calenders and diaries and make sale to various clients such as schools, agents, banks etc. while receiving payment from bank they people are deducting tax under 194C if it exceeds rs. 30000/- . as such there is no contractual agreement between bank and my client how can they deduct tax? as such its purely sale transaction .
Guest
Guest
(Expert)
02 January 2013
Contract does not necessary mean that an express contract shall be there. In this case once the order is received by the press it is an implied contract. In this case the clients will finalise the details and quality and quantity and the order shall be placed accordingly. In such terms the press is bound to sell the said stock to the one client from whom the order is received. Hence it will be termed as contract.
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