Whether definiton of Technical Services includes Recruitment services as per Section 194J of Income Tax Act, 1961?
7 Replies
Deepak Gupta
(CA Student)
(15922 Points)
Replied 14 May 2013
| Originally posted by : Azad Jain | ||
 |
Whether definiton of Technical Services includes Recruitment services as per Section 194J of Income Tax Act, 1961? |
 |
Payments to recruitment agencies are in the nature of payments for services rendered, and hence will be subject to TDS under section 194J of the Act.
In view of Answer to Question No.12, as provided in Circular No.715, dated 8.8.1995
"fees for technical services" shall have the same meaning as in Explanation 2 to clause (vii) of sub-section (1) of section 9
.
.Explanation [2].—For the purposes of this clause, "fees for technical services" means any consideration (including any lump sum consideration) for the rendering of any managerial, technical or consultancy services (including the provision of services of technical or other personnel) but does not include consideration for any construction, assembly, mining or like project undertaken by the recipient or consideration which would be income of the recipient chargeable under the head "Salaries".]
Ganeshbabu K
(Audit and Tax Advisory)
(48564 Points)
Replied 14 May 2013
It is in the defination of 194J
CA Ketan Kothari
(Associate Consultant)
(86 Points)
Replied 15 May 2013
Hello Ajad,
Recruitment service comes under the purview of Professional Service and hence TDS is liable to be deducted u/s 194J. TDS is deductable if annual amount payable/paid would exceed Rs. 180000.00
Thanks & regards
Ketan Kothari
CA.AZAD JAIN
(CA)
(201 Points)
Replied 15 May 2013
Hello Ketan ji
Kindly reply with case laws, if any, that how the recruitment services is covered under the purview of definition of Profession, as one can carry on the business of Recruitment Services even a person does not have specialised knowledge & skill.
Kind Regards
CA. Azad JAIN
shashi shekhar
(Accounting.)
(21 Points)
Replied 24 July 2014
under which section , i deduct the tax on quiz orgniser.
Recent Topics
- FORM 10 IEA IN Revised return
- ITC Eligibility on GTA
- Top Highest Tax-Paying Celebrities: FY 2023-24
- Misplace society Bye law
- Submit ommited invoice of previous year
- Need your valueble insight
- GSTR-9 Invoices
- Agricultural Business Loss
- Reporting in gstr9 of ITC of Previous year reverse
- Tax on Reimbursement of House Rent
Related Threads
CAclubindia
