Tds u/s 194c

TDS 249 views 7 replies

Hello Everyone, I have a query regarding TDS u/s 194C. Is it mandatory to have contract agreement with the party who provides services to us. We are recieving courier services from DTDC. we dont have agreement with them. Is courier charges comes under TDS? If so under which section those services come and what is the limit to deduct tds and what is the rate of tds for courier services

Replies (7)
Yes... u/s 194C.
Yes 194 c, no contract agreement required, only mutual agreement must be there

Mutual agreement means should it be written or oral

You have not provided the limit for deducting tds for courier charges and rate of tds

Rate 2%, limited to one bill 30000, aggregate yearly 100000...may check if any amendments is there
You have to deduct TDS @ 2%. No agreement required.
Threshold: If Payment is
Upto 30000/- Per bill = No TDS

Upto 100000/- during the entire year = No TDS.

If 1st or 2nd any threshold exceeds you have to deduct TDS.
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