13 March 2014
Our CFA is raising an invoice for his charges and the expenses incurred on behalf of us. The bill is segregate into two columns - Taxable and Non Taxable and all the expenses for which he is providing the bills are shown under non taxable portion (reimbursement). Should we deduct TDS on entire amount or only on the taxable amount?
He is not providing a separate bill but showing under non taxable portion in the bill? Please clarify.
13 March 2014
You can deduct tds only on taxable portion . . no tds on reimbursement as he have shown it seperately in invoice and also provided original bills paid by him . .
13 March 2014
So stated in Circular 715 dated 08.08.1995 . . See my convo in lawyers club india . . http://www.lawyersclubindia.com/experts/Tds-on-reimbursement-of-charges-392646.asp#.UyGY6fQW11Z . . in my opinion showing seperately in invoice also fine if they provided original bills paid by them
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