22 January 2015
Sec 194C specifies' in pursuance of a contract b/w the contractor and the specified person'. So there should be a valid contract. But under 194J there won't be a contract .
The term ‘advertising’ has not been defined in the Act. During the course of the consideration of the Finance Bill, 1995, the Finance Minister clarified on the Floor of the House that the amended provisions of tax deduction at source would apply when a client makes payment to an advertising agency and not when advertising agency makes payment to the media, which includes both print and electronic media. The deduction is required to be made at the rate of 1 per cent. It was further clarified that when an advertising agency makes payments to their models, artists, photographers, etc., the tax shall be deducted at the rate of 5 per cent as applicable to fees for professional and technical services under section 194J of the Act.
Querist :
Anonymous
Querist :
Anonymous
(Querist)
22 January 2015
As per the income tax act, the professional services defined as given below. As per this the advertising included in professional service. The same is included in " Work " also..What are the differences between the both definitions
(a) "professional services" means services
rendered by a person in the course of carrying on legal, medical,engineering or architectural profession or the profession of accountancy or technical consultancy or interior decoration or advertising or such other profession as is notified
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