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TDS on Printing & Stationery

kumar vivek (CA) (190 Points)

22 December 2008

will tds be deducted on vendors from whom we only purchase stationery?

suppose we buy plain bill books from some vendor and get it printed from some other persons, so where should we deduct tds??

i think its only on the printing part and not on purchases of bill books.

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5 Replies

Sambu Suresh (CA Job) (564 Points)
Replied 22 December 2008

Yes you are right, TDS is not applicable on purchase of materials.

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adithyan (student) (63 Points)
Replied 22 December 2008

Yes TDS is applicable as it is a work contract and Tax needs to be deducted under section 194C of the income tax act at specified rates. Tds is not required on purchase of Books as it is attracted by CST or VAT

Venkatesh Rao (Service) (135 Points)
Replied 22 December 2008

There wont be any tds on PURCHASE, however if you give contract to print the stationaries then TDS u/s 194C @ 2% would be attracted.

Before making any payment to the contractor for printing the stationaries deduct tax and then make payment

Ravuri Rajesh (Industrial Trainee) (39 Points)
Replied 22 December 2008

If we purchase stationary from the vendor and give him the contract for printing and if the bill includes both purchase of stationary and printing then we have to deduct TDS U/S 194C on the whole amount at applicable rates.

In case if we give printing contract to a different person or if we get bill for printing alone we need to deduct TDS on only that amount and the purchase will not be tax deductible.