16 January 2024
Dc Company hiring us to transportation of mining minerals for place A to place B. We don’t have any vehicle so we hired 20-25 transporter (which own less than 10 vehicles during the previous year) with vehicle to do this job and directly paid to transporter and booked as a transportation expenses in our books of account. As per section-194c(6) if transporter own 10 or less goods carriages at any time during the previous year and furnishes declaration to that effect along with pan to the person paying or crediting such at time of payment or crediting the party, whichever is earlier.
Further dc co. Deducting TDS of (abc) of us.
Query- 1. Weather we will liable to deduct TDS third party transporter? 2. If we not deduct TDS on transportation expenses, it shall be allowable as an expenses at the time of audit u/s 44ab? 3. If we not deduct TDS on transportation expenses in above case what should the remedy at time of income tax notice or scrutiny?
CAclubindia
