TDS- Reimbursement of Shipment Expenses

Mr. Ameet Kimbahune

Tax has to be deducted on the gross bill not on the net bill after reibursement of expenses.  There are no cases decided in favour of the tax payer in this respect.  The consequence is very serious i.e. disallowance of the impugned expenditure.

Best Wishes

Sathikonda

for the said case section 194 C is applicable.

As per the wordings of the said section 'any sum paid to the contractor.....' TDS would be levied.

in my opinion if any sum which has been credited or paid to the contractor TDS should be deducted even if the said amount does not form the part of income of the contractor.

for the said case section 194 C is applicable.

As per the wordings of the said section 'any sum paid to the contractor.....' TDS would be levied.

in my opinion if any sum which has been credited or paid to the contractor TDS should be deducted even if the said amount does not form the part of income of the contractor.