prathamesh kamat (articleship) (35 Points)
07 April 2008a private limited company has hired tempo ( inclusive of diesel , driver etc) from some of its parties and pays "tempo hiring Expenses " in cash on a monthly basis . the question is , if the TEMPO HIRING CHARGES payable to 1person exceeds rs120000/-, is the pvt. limited co. liable to deduct tax at source ?? and if yes WHen?? and under which section?? please reply asap. thank u in anticipation.
CA. Dashrath Maheshwari
(TaXpert)
(15103 Points)
Replied 08 April 2008
Its a contract only, not the hiring and therefore if it is for more then 20000 for a month's bill or more then 50000 for an annual bill, company should deduct TDS in 194C
CA Harbinder
(CA )
(1245 Points)
Replied 08 April 2008
kiran kumar
(articleship)
(27 Points)
Replied 08 April 2008
it depends on the terms of contract if the has hired a car for example and it has been given to a particular employee in specific then it covers under sec 194I but as the tempo is hired and it is beleived that it is not given to one particular employee so it has to be deducted U/S 194C 2%+surcharge if applicable+3% education cess
prathamesh kamat
(articleship)
(35 Points)
Replied 10 April 2008
tahnk u all of u for solving my query
Deepak Gupta
(Chartered Accountant)
(222 Points)
Replied 10 April 2008
in case the only tempo is hired and cost of fuel for running is borne by the payer and further the driver is also employed by the payer then the tds shall be deducted as it is a rent other wise tds shall be deducted u/s 194C
Jitender
(Chartered Accountant)
(8724 Points)
Replied 11 April 2008
tds will be deducted on all amount @ 2%
GSTR 9 and 9C for FY 23-24 as amended by Notification 12/2024 dated 10th July 2024(with recording)
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