Vehicle / Cab Hire Charges

This query is : Resolved

Gireesh Hegde (Querist)
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02 July 2011 Hi,

Can anybody tell us TDS on Cab Hire Charges comes under 194C or 194 I?

Kindly give some supportings to prove that.

Thnaks.
Gireesh

S.P.Mahanta

S.P.Mahanta (Expert)
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02 July 2011 TDS on cab hire charges covered under sec 194C since it is covered under an agreement between principal & transporter. TDS under 194I relates to Rent on immovable commercial properties.

Gireesh Hegde

Gireesh Hegde (Querist)
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02 July 2011 Can we consider the Work Order signed by both the principal & transporter as agreement?

Thanks.
Gireesh

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Shudhanshu Agrawal

Shudhanshu Agrawal (Expert)
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02 July 2011 There is a difference between Hiring and contract. Hiring of cab is considered u/s 194I because it is a machinery taken on hire. But hiring means car is kept by company through out the day and not on requirement.