We are sending our paper / board to the press and , the printing press will print the material using its own plates, inks chemicals ,laminations etc. We are sending only base paper and the printing press will do value addition by printing inks , lamination etc .
Should we deduct TDS or not during payment of this bill ?
TDS should be deducted u/s 194C
Explanation (iv)(e) to 194C(7), says that work shall include, manufacturing or supplying a product according to the requirement or specification of a customer by using material purchased from such customer, but does not include manufacturing or supplying a product according to the requirement or specification of a customer by using material purchased from a person, other than such customer.
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