CA.Varalakshmi.M (Manager-Finance) (482 Points)
07 August 2012Hi friends,
We have puchased a software licence for Rs.100 and we sold the same software license to another company for Rs.110/-
.A person supported us in purchasing and selling of this software.We pay 10% of (110-100) to him.
Under which section do we need to deduct the TDS to this suporter while making the payment.
Thanx in advance
Bhanu Prakash Rao
(Think Beyond Stay Ahead...!)
(1064 Points)
Replied 07 August 2012
Hi
if he is an agent then its become commission u/s 194H - Relationship of principal and agent.
if its a contract you have to deduct as per sec 194C.
Best Regards.
satyendra kumar singh
(Manager-Finance & Accounts)
(100 Points)
Replied 07 August 2012
You have to deduct TDS U/S 194H ( Commission) .
CAclubindia
