Deepak Tapse (Accounts Manager - Taxation) (1771 Points)
20 April 2012A is an individual, he is a director of the company. He is not liablie to audit u/s 44AB.
Now he is started a propritor firm and his turnover crossed the limit which become to Tax audit u/s 44AB. My question is while deducting the TDS from the payment made to various contractors / professionals can he has to deduct the TDS from the contractors / professional fees paid for his personal works or not. TAN Should be in the name of proprietor or firm's name?
Raman Aggarwal
(Expert)
(363 Points)
Replied 20 April 2012
NO HE IS NOT REQUIRED TGO DEDUCT TDS FOR PERSONAL WORKS
Suraj S
(Audit Executive)
(335 Points)
Replied 20 April 2012
TDS has to be made only for those expenses that is attributable to business. Also, in case of proprietary business TAN has to be taken in the name of proprietor & not in the name of the firm.
CAclubindia
