29 November 2009
our society is in repairs at what rate should the society should deduct TDS for the repairing work done. Repairing includes renovation of the whole building, pasage tilings, overall sanitary work etc. thank you.
28 December 2009
Tax is to be deducted at the time of payment to be made for work contracts or credit to the account of the payee (whichever is earlier) Income Tax is to be deducted at source @ 1% on Advertising contracts and @2% on any other contracts on the amount paid/credited. In the case of sub-contracts, the main contractor should deduct tax at source @1% on the amount paid/credited to the subcontractor. Exceptions :- The value of each contract is less than Rs. 20,000/- and the total contracts/ payments to the contractor in a year is less than Rs. 50,000/-. Contract u/s 194C includes:Work contracts, service contract, transport contracts, catering contracts Contract for couriers for carrying documents, letters etc. Contracts for supply of labour for carrying out any work Maintenance contracts including supply of spares Contracts for supply of printed material as per prescribed specifications. Transport contracts- each GR is a separate contract unless until a specific contract is executed. Contract for supply along with fabrication, erection, installation, maintenance are covered by Section 194C. However if the service used is covered under technical services then Section 194J is applicable.
CAclubindia
