TDS

This query is : Resolved

Ravi Singh (Querist)
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01 January 2010 whether TDS is to be deducted on the payment made to a person for the purpose of printing of stationery and diaries or not ?

CA Deepak S

CA Deepak S (Expert)
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01 January 2010 If the person issues a bill collecting VAT then the nature of transaction is a contract of sale and you don't have to deduct tax from the payment to the party. otherwise you have to deduct tax.

Murtaza I Bhagat

Murtaza I Bhagat (Expert)
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01 January 2010 I also agree.

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CMA Arif Farooqui

CMA Arif Farooqui (Expert)
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01 January 2010 agree

CA Sanjeev Kr Jain

CA Sanjeev Kr Jain (Expert)
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01 January 2010 pl advise if the tds to be deducted on car repair bill which is consoidated of cost as well as repair charges and includes cost of parts on which VAT is charged and also labour charges on which service tax is charged,

CA.ViVeK M ACA

CA.ViVeK M ACA (Expert)
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01 January 2010 If there is a contract with the printer, then we have to deduct the TDS if the single payment exceeds 20000 or aggregate payment during the year exceeds Rs 50000.This is called contract for service. It will fall under section 194 c

Praveen Sharma

Praveen Sharma (Expert)
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02 January 2010 agree with experts

Pankaj Gupta

Pankaj Gupta (Expert)
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02 January 2010 The Same issue of TDS on printing of stationery and diaries was discussed in the case of Dabur India Limited and it was held that it is in the nature of sale and TDS shall not be deducted. Now it is well settled law if VAT is charged on printing and stationery no need to deduct TDS.

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Vishnu Saboo

Vishnu Saboo (Expert)
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08 January 2010 as printer is supplying his papers and consuming ink in said contract, this must be condedred as sale contract and not the contract of labour supply.