Deepak (CA) (424 Points)
06 November 2009Hiiiiiiii Sir/Madam,
I want to clarify that, if a person charges commission on purchasing Tickects for his client and he give one bill for that i.e, Tickects Reimbursement Exps. + Commission on Tickects = Gross Value of Bill then, TDS should be deducted from Commission Amt. or on Gross Bill Amt.
haridhayalan
(TALLY CERTIFIED PARTNER)
(1268 Points)
Replied 06 November 2009
as per my knowledge tds on commission only. there is no tds on reimbursement of our expenses. let us get the replies from our seniors.
Dilip
(Working)
(408 Points)
Replied 06 November 2009
If comm. amount is mentioned seperately in invoice then deduct only on comm else on whole amount. if he able to give separte bill for both then it will be very easy job.
Sunil
(Trader)
(2611 Points)
Replied 06 November 2009
If both amounts are shown separate, then only on commission.
sivaram
(Asst Mgr-Taxation)
(6918 Points)
Replied 06 November 2009
since he is acting as agent TDS is only on commission alone .it is unfair to deduct on reimbursement on behalf of client in which he acts as agent
| Originally posted by :sivaram | ||
| " | since he is acting as agent TDS is only on commission alone .it is unfair to deduct on reimbursement on behalf of client in which he acts as agent | " |
i agree...........
CA Devanshi Gandhi (Ajani)
(FCA DISA Mcom CIFRS & LLB)
(9058 Points)
Replied 06 November 2009
TDS on commission only
kabirsen
(student)
(251 Points)
Replied 07 November 2009
tds is on commission part only....
but when we make pmt to a c&f agent for integrated service the tds shud be deducted on gross amt
Even in C&F also same problem. Commission will be 2000, but gross amount paid will be around 2,00,000. At 10% rate, TDS will be 20,000. More than commission. If you notice corporates are deducting tds on amount of commission and not on tds.
But there is a case law where if the amount distinct in invoice then TDS can be deducted on the amount of commission alone.
kabirsen
(student)
(251 Points)
Replied 07 November 2009
but circular has been issued by income tax act ....which clarified the position...
c&f agents provide integrated service....and if tds is more asessee can always claim refund...
yes i agree with u ...they hv 2 make a separate invoic so that tds is deducted only on commission part
CA Sidhi Gaur
(Chartered Accountant)
(247 Points)
Replied 07 November 2009
Definitely..agree wid sathya
ask for separate bills n deduct tds on comm. amt. only..
Analysis of 20 GST Notices (including 2 Appeals) and Practise on Drafting(with recording)
GSTR 9 and 9C for FY 23-24 as amended by Notification 12/2024 dated 10th July 2024(with recording)
CAclubindia
