Tds on reimbursement of courier charges

This query is : Resolved

arun laxman gaikwad (Querist)
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23 April 2015 Dear Sir

One of our party charges us for reimbursement of courier charges in their bill for some courier done on our behalf.

In this case should we deduct TDS from party's bill on courier charges u/s 194c or as reimbursement should not deduct the same ?

In our bill we debit their bills to courier charges.

Kindly explain.
Regards
Arun

CMA Ramesh Krishnan

CMA Ramesh Krishnan (Expert)
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23 April 2015 Reimbursement claimed separately by invoice or debit note- TDS will not apply

If raised in the invoice along with service - TDS will apply