Tds on employees who are working on contract basis.

This query is : Resolved

Navpriya Kaur (Querist)
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11 June 2013 Hi..
Please tell me in case a employee who is program officer or account officer is working under contract of one year & in the contract it was mentioned there will be no dededuction of PF,ESI etc..then TDS will be deducted under which section??

Ganeshbabu K

Ganeshbabu K (Expert)
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11 June 2013 accounts officer discharges his duties by applying professional knowledge..

TDS @194J is applicable

TDS is deductable @ 10%

Thanks & regards
Ganesh babu k

CA.Vinita Gupta

CA.Vinita Gupta (Expert)
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11 June 2013 If the person is on payroll of the company and is an employee even though no pf esi is deducted. Only ptax need to be deducted and tds us 192b should be deducted.I don't agree with the answer of ganeshbabu

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Ki$hor B

Ki$hor B (Expert)
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12 June 2013 Navpriya, Pls be clear whether the person so appointed is an "employee" or "taken on contract".

For contract - consider the answer given by GaneshBabu.

Where the person is employee - Vinita is correct.

Navpriya Kaur

Navpriya Kaur (Querist)
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12 June 2013 Thanks for ur reply..
Actually every year contract of the employee were renewed.They are project officers or account officer & payment are given by the organisation to the individual employee.Now please tell me TDS will be deducted under which section??

Ganeshbabu K

Ganeshbabu K (Expert)
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12 June 2013 i don't think in your case they will come under employee..it was hiring of professionals

And i stand on my opinion as above

Thanks & regards
Ganesh babu k

Navpriya Kaur

Navpriya Kaur (Querist)
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12 June 2013 thanx Ganesh babu for ur reply..