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WCT TDS and TDS u/s 194C

Sandeep Mishra (CA FINAL) (151 Points)

30 April 2010

What are procedures and the rates for deducting WCT TDS and TDS U/S 194C on the work contracts? anoter query is if there r two bills under the same work contract, one bill contains both labour and material and other bill contains only labour then will WCT and TDS u/s 194 C should be deducted on labour bills if yes then how and what rates? How the WCT TDS and TDS u/s 194C will be calulated when the payment in advance is made under same above contract?

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4 Replies

Aditya Maheshwari (CA in Practice) (35867 Points)
Replied 30 April 2010

TDS to be deducted u/s 194C on individuals & HUF's @ 1% and companies & firms @ 2%.

TDS need not be dedcuted on material bill only. Except that TDS deductible.

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Sandeep Mishra (CA FINAL) (151 Points)
Replied 30 April 2010

Plz tell about work contract TDS under MVAt act???

Aditya Maheshwari (CA in Practice) (35867 Points)
Replied 01 May 2010

for the purpose of Section 194C work contract means

(iv) work shall include

(a) advertising;

(b) broadcasting and telecasting including production of programmes for such broadcasting or telecasting;

(d) catering;

(e) manufacturing or supplying a product according to the requirement or specification of a customer by using material purchased from such customer,

but does not include manufacturing or supplying a product according to the requirement or specification of a customer by using material purchased from a person, other than such customer.]

shilpigarg (service) (21 Points)
Replied 15 December 2010

Limit of tds u/s 194C is Rs. 30000 for single contract and Rs. 75000 limit is for muliple contract or whether it is the aggregate limit of single contract in the financial year ?