mixture of service tax and income tax

ya transporter is required to deduct TDS on payment to Truck owner u/s 194C as a sub contract b/w transporter & Truck owner ...but he can giv form 15 I to transporter if he owns maximum of 2 trucks , so as to escape from TDS 

RE SAHIL:

 AS WE KNOW THAT THE SUB CONTRACTOR IS ACTING AS UNDER THE AUTHORITY OF CONTRACTOR BUT HERE THE TRASNPORTER IS WORKING UNDER THE AUTHORITY OF TRUCK HOLDER. LET ME GIVE EXAMPLE

A = TRANSPORTER

B = TRUCK HOLDER

C =CONSIGNOR

NOW IF THE GOODS ARE GOT ACCIDENT OR SAY FIRE THEN THE CONSIGNOR CANT HELD THE A LIABLE AS "A" IS WRITING IN THE CONSIGNMENT NOTE THAT HE IS JUST ACTING AS AGENT OF TRUCK HOLDER

i didn't get wat u r saying..u should approach Experts section for ur query ...

hi, let me explain the query.

if you are doing audit u/s 44ab, then to arrive at the total turnover, you can simply divide the service tax amount by the rate. say the service tax paid by the service provider has made payment of rs 2.58 then you can say his turnover is rs 100. Now my query is about the same but in case of goods transport agency. so the things are,

turnover as per service tax= amount of freight as stated in consignment note.

turnover as per it act is = total commission received on issue of consignment note being Kachha arahtias 

so both of them can be different? and whether payment by transporter to truck holder being payment in nature of payment to principal , attracts TDS or not