Tds venue hire

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

13 December 2011 Our client is a market research agency. They conduct seminars in various hotels across mumbai. No formal agreements are entered into with those hotels.
Apart from providng the hall the hotel also provides food to participants in the seminar. Also the hotel guys record the entire seminar make CD's of it & hand over to our client. FOr all these work they raise a single invoice, single amount & charge Service tax on entire amount. No break ups are given.Now the question is do we deduct TDS u/s 194C or 194I.

Guest

Guest (Expert)

13 December 2011 I guess it should be 194I.

Querist : Anonymous

Querist : Anonymous (Querist)

14 December 2011 well we have deducted till now upto 2% u/s 194C. Will it be ok if we continue till march u/s 194C & from next year we shift it to 194I?Will there be any problems in future?

Upgrade to CAclubindia Pro. Subscribe Now!

Guest

Guest (Expert)

14 December 2011 Now deduct the difference amount of 8% from further payments and deposit under section 194I and from now onwards duduct under section 194I.

Thanks.