Tag Archives: Section 194C

No TDS if Company made payment to Labours on bhelaf of farmers

By | March 16, 2017

Facts of the case As per the agreement entered with the farmers by Assessee (Company) , the farmers shall supply sugarcane at factory gate for a agreed price fixed by the State Govt. However, as per the request of farmers and also to facilitate smooth supply of sugar cane, it has employed harvesting gang labours… Read More »

TDS on payment to dealer for servicing of customers vehicle as per Service Coupons u/s 194C

By | June 23, 2016

IN THE ITAT MUMBAI BENCH ‘B’ Mahindra Navistar Automotives Ltd. v. Deputy Commissioner of Income-tax, 2 (2), Mumbai JOGINDER SINGH, JUDICIAL MEMBER AND SANJAY ARORA, ACCOUNTANT MEMBER IT APPEAL NOS. 3324 & 4645 (MUM.) OF 2013 [ASSESSMENT YEARS 2007-08 AND 2008-09] MAY  13, 2016 H.P. Mahajani for the Appellant. N.P. Singh for the Respondent. ORDER… Read More »

TDS on Payment to Contractor : section 194C

By | May 25, 2016

TDS on Payment to Contractor TDS on Payment to Contractor is covered under Section 194C of Income tax act TDS on Payment to Contractor : Salient Features of Section 194C : No TDS on payment to contractor during the course of business of plying, hiring or leasing goods carriages, where such contractor owns 10 or less goods carriages… Read More »

TDS Rates and Limit revised w.e.f 01.06.2016

By | May 19, 2016

Revised TDS Rates and Limit w.e.f 01.06.2016 Finance Act 2016 has revised TDS Rates and limit for Rationalization of tax deduction at Source (TDS) Under the scheme of deduction of tax at source as provided in the Act, every person responsible for payment of any specified sum to any person is required to deduct tax at… Read More »

TDS on Payment to harvester / transporter of Sugarcane from Farmers field

By | April 1, 2016

Facts of the Case The assessee was engaging services of contractor/s for harvesting, cutting and transporting Sugarcane from the Farmers’ fields to its factory. The amount paid to those contractors was bifurcated under different heads namely cane cutting charges, harvesters’ bonus, transportation charges and transportation commission. Payments made on those amounts were booked as expenditure.… Read More »

CBDT clarify TDS issues on payments made by Television channels, Broadcasters and Newspapers

By | March 8, 2016

Issue of clarification on contentious TDS issues on payments made by Television channels, Broadcasters and Newspapers With a view to bring about clarity in the interpretation of certain contentious issues relating to Tax Deduction at Source (TDS) on payments made by television channels, broadcasters and newspapers, Central Board of Direct Taxes has issued two Circulars.… Read More »

Payment to intermediaries for hiring of transport for carriage of goods is also liable for TDS u/s 194C

By | January 31, 2016

Held The assessee has entered into contract with these intermediaries for the work of hiring of transport for carriage of goods for the assessee for which payments are made by the assessee to these intermediaries who are not actual transporters but are arranging actual transporters independently from open market for carriage of goods for assessee… Read More »

Payment for Using brand name on beer is Royalty liable for TDS u/s 194J

By | November 6, 2015

“Trade discount scheme” would amount to Commission liable for deduction of tax at source u/s 194H of the Act. ? Held No Contractual payments made to M/s United Breweries Ltd, Bangalore and M/s Millenium Breweries Industries Ltd, Bangalore would amount to payment of Royalty liable for deduction u/s 194J of the Act, and not u/s 194C… Read More »

Purchases made after payment of excise duty and availment of credit can not be held as job work, no TDS under section 194C

By | October 8, 2015

Where assessee had purchased goods from manufacturers and paid sales tax, excise duty etc., transaction is on principal to principal basis and does not fall within purview of section 194C HIGH COURT OF CALCUTTA Commissioner of Income-tax TDS, Kolkata v. Khadim Shoes (P.) Ltd. GIRISH CHANDRA GUPTA AND ARINDAM SINHA, JJ. IT APPEAL NO. 146… Read More »

TDS on Bill management services u/s sec 194C and not u/s 194J as this service is not professional services

By | October 7, 2015

TDS on Bill management services Where assessee made payments towards bill management services, since said services were not in nature of professional services, rather it was a case of service contract, provisions of section 194J would not apply and, tax was required to be deducted under section 194C in respect of said payments HIGH COURT… Read More »