Tds on transpoprters

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

25 August 2011 W.e.f. from last financial year it has became compulsory to dedcut tds @ 20% if PAN is not provided by transporter. In this regard I need clarification on following points:

(i) Whether it covers only Registered Transporters like truck union or every other goods carrier is covered in this provision.

(ii)If we take PAN No. of Transporter but vehicle belongs to any other person and we are paying freight to truck driver on the builty which is in the name of transport company, then PAN no. of Transporter is to be taken or of the driver of the truck.

Thanking you.

MAHENDRA KUMAR BAGRECHA

MAHENDRA KUMAR BAGRECHA (Expert)
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25 August 2011 Hi,

(1)All transporters are covered under 194C

(2) You will have to deduct TDS from the payment made to Transport firm in whose name bilti(LR) is. If you will deduct TDS from driver, it will be non compliance of TDS provisions. Other expert views are welcome.