Anand Sanga (Accounts Executive) (92 Points)
02 July 2011TDS under which section to be deducted for the below transaction
Bill Descriptttion: "Service Charges for supply of Food Coupons for the month of"
Bill is charged with Service Tax (under Business Support Category)
Whether we have to deduct u/s.194C of 194J.
Suggesstions please..
C.A SHASHANK GOYAL
(Chartered Accountant)
(362 Points)
Replied 02 July 2011
Hi, in my opinion TDS is required to be deducted under the provisions of section 194C , reason being , i assume that there is contract for supply of food coupons , taking the similar example as advertising , as it is also covered under this section , this makes the intention of law very clear that services are very well in the ambit.
However , it will not be covered under the provision of section 194J , because above service is not the profession as it is not backed by any qualification and therefore outside the purview of explaination to section 194J .
Anand Sanga
(Accounts Executive)
(92 Points)
Replied 04 July 2011
Thanks Shashank for your Opinion and it is clear.
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