TDS Rate on Transport of BPO Employee

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maheshwar sahu (Querist)
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15 October 2009 Where TDS can be deduct on Transport of BPO Employee Home to Office and Office to Home and what is rate?

M Prabhakar Menon

M Prabhakar Menon (Expert)
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15 October 2009 If the transporter has a PAN TDS is not applicable wef 1-10-2009

Aditya Maheshwari

Aditya Maheshwari (Expert)
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15 October 2009 If not then 2% if company or firm and 1% for others

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CA SANJAY MUKHERJEE

CA SANJAY MUKHERJEE (Expert)
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15 October 2009 Dear experts,

Please have a look at the amended provision for nil TDS for transport operators in the business of goods carriage.

So whether the same nil rate will be applicable for carrying employees ??

I don't think so.

Please give ur valuable opinion.

Thanks

CA Suresh Choudhary

CA Suresh Choudhary (Expert)
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15 October 2009 Yes i agree with Sanjay.
As per ammendment to the TDS rates w.e.f. 01.10.2009 the transport charges means the Transport contractors engaged in the business of plying, hiring or leasing goods carriages.

There fore in my opinion transport of BPO employees comes under normal contract and hence the new tds rates of 1% will be applicable.

CA SANJAY MUKHERJEE

CA SANJAY MUKHERJEE (Expert)
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15 October 2009 Thanks Suresh for your opinion,

the rate may be 2% if the operator is other than individual/HUF