tds u/s 194C of I.T. Act
krishna chandra sahoo
(Querist) 12 July 2009
This query is : Resolved
A is a trader in coal . status individual & a/cs required for audit u/s 44AB . A/Y 2008-09 & 2009-10 . ' A' incurs more than 25 lacs per annum as carriage-inward for transporting coal from colliery pit to his depot .
Whether tds is required on transporting charges u/s. 194C .
krishna
A V Vishal
(Expert) 12 July 2009
Dear Sahoo
TDS for A Y 2008-09 & 2009-10 is subject to the provisions under 194 C. For the purposes of this section, the expression work shall also include
(a) advertising;
(b) broadcasting and telecasting including production of programmes for such broadcasting or telecasting;
(c) carriage of goods and passengers by any mode of transport other than by railways;
(d) catering.]
(3) No deduction shall be made under sub-section (1) or sub-section (2) from
(i) the amount of any sum credited or paid or likely to be credited or paid to the account of, or to, the contractor or sub-contractor, if such sum does not exceed twenty thousand rupees:
Provided that where the aggregate of the amounts of such sums credited or paid or likely to be credited or paid during the financial year exceeds fifty thousand rupees, the person responsible for paying such sums referred to in sub-section (1) or, as the case may be, sub-section (2) shall be liable to deduct income-tax under this section.
Provided further that no deduction shall be made under sub- section (2), from the amount of any sum credited or paid or likely to be credited or paid during the previous year to the account of the sub-contractor during the course of business of plying, hiring or leasing goods carriages, on production of a declaration to the person concerned paying or crediting such sum, in the prescribed form and verified in the prescribed manner and within such time as may be prescribed, if such sub-contractor is an individual who has not owned more than two goods carriages at any time during the previous year.
