Tds on contract

This query is : Resolved

POOJA (Querist)
Follow

23 February 2017 Dear Sir,
The company pays maintenance charges to mall owner which includes electricity charges, water Bill, AC Charges, Cam Charges etc. Whether TDS on contract needs to be deducted?. If yes, then on whole amount(excluding service tax) or only on AC Charges and Cam Charges?

Thank You

CA DHAVAL MISTRY

CA DHAVAL MISTRY (Expert)
Follow

24 February 2017 If case of maintenance contract tds is to be deducted u/s 194C. If single bill is given for all amenities than TDS is to be deducted on full bill. However, if the separate bills are given for Electricity and HVAC Charges, than no tds is to be deducted on such invoice. However, TDS is required to be deduct on CAM Charges. Generally malls provide separate bills for electricity and HVAC charges and CAM and amenity charges.