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TDS on Clearing & forwarding charges

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Querist : Anonymous

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Querist : Anonymous (Querist)
18 February 2011 1. First bill includes freight,octroi,shipping freight, port,other expenses this all expenses are reimbursement expenses.

2. Second bill is service charge.

TDS to be deducted on first & second bill. Please advice in which section & notification for the F.Y 2010-11.

18 February 2011 The CBDT Circular No 715 dated 8/8/1995 has already clarified thatclearing and forwarding agent for carriage of goods subjected to tax deduction at source under section 194C of the Act.

If two bill are raise one for service charges and other for reimbursement of expenses, TDS should be deducted only on service charges

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Guest (Expert)
18 February 2011 TDS on second bill only.




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