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Sec 194 c tds

RAJ KUMAR (FINANCE MANAGER) (1393 Points)

19 April 2013

HELLO FRIENDS, MY CLIENT IS AN INDIVIDUAL FIRM, THEY PURCHASES THE GOODS FROM OUTSIDE THE STATE AND PAYS FREIGHT CHARGES ON IT, NO SINGLE BILL IS ABOVE RS. 30,000 BUT IN AGGREGATE THE TOTAL PAYMENT TO ONE TRANSPORTER EXCEED RS. 70,000.

PLS. HELP ME IT IS AN AUDIT FIRM BUT TRANSPORTER HAS GIVEN THE COPY OF HIS PAN AND ASKS HIM NOT TO DEDUCT THE TDS.

THERE IS NO OTHER TDS LIABILITY.

NOW. PLS. HELP ME WHETHER THEY ARE REQUIRED TO TAKE THE TAN NO. AND FILE NIL TDS REURNS OR NOT TO TAKE THE TAN NO. AS TRANSPORTER PROVIDES THE PAN CARD AND NOT LIABLE TO DEDUCT TDS,.

PLS. HELP ME.

THANKS.

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1 Replies

CA ASHIS AGARWAL (MANAGER - FINANCE & ACCOUNTS) (25 Points)
Replied 19 April 2013

Hello Mr. Raj,

As per my understanding of the Section, no TDS liability arises in case of transporters if the transporter has submitted the PAN. Since, the firm has no other TDS liability, it is not required to apply for TAN and file nil TDS return. However, please note that even if a single TDS liability may arise on any account, at any time during the year, i would advise to apply for TAN and file "NIL" TDS return.