Ca Gaganjot Kaur (CA) (108 Points)
24 January 2009 i am an article doing audit of a partnership firm these days. the concern has got their website prepared by a concern and paid it Rs.25000 for that and thereafter they had few more transactions with that regarding uploading etc. can u pls guide me that should our client deduct tds on that? wil it be covered under CONTRACT?
Thank you 
Ashish M
(Chartered Accountant)
(2731 Points)
Replied 25 January 2009
in my view, its a contract payment and accordingly TDS rates of the payment to contractor shall apply as the situation is not covered under the 'professional and technical services' head........................
Ranjini.V
(CA Student)
(141 Points)
Replied 26 January 2009
Is the company who has supplied the software not regular in developing and supplying softwares? In case its main business is developing and supplying software, it will be regareded as professional service and tds will hav to be deducted as per rates in 194J. else it will be covered under contract.....
Hari Wadhwa
(Chartered Accountant)
(61 Points)
Replied 21 February 2009
Pls read Explanation 2 to section9 of the Income tax act for the meaning of "technical & Professional services)
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