Tds deduction..........

This query is : Resolved

Guest

Guest (Querist)

29 October 2011 Good Evening Sir..........

I kalpana , hve a query... related to TDS matter.....if an indivdual joined a company as appointmnt in job contrct basis on the basis of fixed remunirtion ,
can the person covered under salary head (TDS sec 192 applicable) if no
so plz breif that

CMA. CS. Sanjay Gupta

CMA. CS. Sanjay Gupta (Expert)
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29 October 2011 yes the same is covered u/s 192.
Even though appointment is on contract basis there is employer employee relationship and sec 192 will be applied. In many organizations employees are hired on contractual basis but even in that case sec 192 is applicable as the expenses are still booked under the head salary.

CA VISHAL RANA,CS,B.Com,AMFI

CA VISHAL RANA,CS,B.Com,AMFI (Expert)
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29 October 2011 Agree with expert.

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Guest

Guest (Querist)

01 November 2011 thanks sir.......

my sme colleague says that in this situation Sec 194 J is applicble & presntly they r working in this concept.........

so i wants clear that thanks a lot......for clear al those thing...........................

CMA. CS. Sanjay Gupta

CMA. CS. Sanjay Gupta (Expert)
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01 November 2011 No section 194J can not be applied.

In case of labour contracts where the manpower is provided by the contractor, TDS is dcducted u/s 194C.

194J is applicable for

TDS on Professional or Technical Services (Section 194J)

Nature of payments covered:

1) Fees for professional services
2) Fees for Technical Services
3) Royalty
4) Receipts in the nature of non-compete fees and exclusivity rights as specified u/s 28(va).

So if the person gives the bills of professional fees only then sec 194J can be invoked provided his profession is covered within the ambit of Sec 194J.

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Guest

Guest (Querist)

01 November 2011 I also Agreed with you............

thanks for reply......... thanks a lot....