tds on payment made to agent for advertisement

TDS 538 views 2 replies

CA PAVAN KUMAR

chartered accountant

68 Points Joined March 2009

hi friends, i have a doubt regarding the payment made to agent for advertisement.

one of my client is paying amount to ABC communications(name changed) for advertisement. on that amount they are deducting tds u/s 195c. besides to this amount they are paying some consultancy charges which are 3% on the advertisement charges every month.

so friends my doubt is whether tds on such consultancy charges is comes under 194c or 194j or 194h.

pls clarify my doubt.

regards

pavan kumar.M

mpavan_kumar @ hotmail.com

Replies (2)

sagar

CA Final

379 Points Joined February 2008

your querry is whether payment of consultancy charges as a percentage of contract amount is subject to 194C or 194J?

payment of consultancy charges are always 194J. it is immaterial what basis they are paying.

if he thinks the deduction is higher then do not show as consultanct charges . instead show as contract payment only

Guest

Originally posted by : sagar
	your querry is whether payment of consultancy charges as a percentage of contract amount is subject to 194C or 194J? payment of consultancy charges are always 194J. it is immaterial what basis they are paying. if he thinks the deduction is higher then do not show as consultanct charges . instead show as contract payment only