1947 c vs 194 j

mere signing a agreement with a professional, cannot be termed as contract u/s 194C.
So it is still covered u/s 194J

194J is applicable as far as charging of professional fee is concerned, text and contents of the agreements need to be checked.

Originally posted by : CMA Ashutosh Kumar Gupta
	194J is applicable as far as charging of professional fee is concerned, text and contents of the agreements need to be checked.

correct

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Karanjit Singh | +91-7503588224 

mere signing a agreement with a professional, cannot be termed as contract u/s 194C.
So it is still covered u/s 194J Agree

Undisputedly 194J

Undisputedly 194J

Any person responsible for paying any sum to a resident contractor for carrying out any "work "(including supply of labour for carrying out any work) in pursuance of a contract between the contractor and the Central Government, a State Government, local authority, statut ory corporation, a company, co-operative society, any statutory authority dealing with housing accomodation, any society registered under the Societies Registration Act, 1860, any trust or any university or any firm or any Government of a foreign State or foreign enterprise or any association or body established outside India or an individual, HUF, AOP or BOI subject to tax audit under section 44AB in the immediately preceding financial year must deduct income - tax at the prescribed rate under section 194C from such sum at the time of credit or payment, whichever is earlier. Contracts for rendering professional services by lawyers, physicians, surgeons, engineers, accountants, architects, consultants etc., cannot be regarded as contracts for carrying out any ?"work" and, accordingly, no deduction of income-tax is to be made from payments relating to such contracts under this section. Separate provisions for fees for professional services have been made under section 194J.

Agreement will be available for all kinds of services but all those services cannot be considered as contract.

For example: 

1. Architecture services - agreement is available - but 194J applicable

2. Construction serives - agreement is not available - but 194C applicable