Sec 194 C or 194 J

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CA Sahil Singla.. (Querist)
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05 February 2011 Sir
Plz tell me for deducting TDS on Laboratory testing fees wich section will be applicable ? whether 194C or 194J....or there is no need to deduct TDS ?

Pankaj Gandhi Jaiswal

Pankaj Gandhi Jaiswal (Expert)
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05 February 2011 Dear Sahil

Where basis of delivery is primarily quantum based then 194C apply and where basis of delivery is primarily based on intelectuals or on earned knowledge then 194 J apply, it s vary on fact to fact basis.
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Guest

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05 February 2011 In my opinion 194J will be applicable.

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CA Sahil Singla..

CA Sahil Singla.. (Querist)
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05 February 2011 Agreed with u Pankaj sir..but why we deduct TDS in case of C & F Agent u under 194 C ? in this case i think there is no quantum based service ?

Ram Avtar Singh

Ram Avtar Singh (Expert)
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06 February 2011 Testing fee techinical support. 194J applicable

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Jinesh Bansal

Jinesh Bansal (Expert)
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07 February 2011 Yes, TDS on testing fee is deductible u/s 194J.

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Pankaj Gandhi Jaiswal

Pankaj Gandhi Jaiswal (Expert)
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07 February 2011 Dear Sahil
In you case, the opinion will be depend on fact basis. Primarily it looks like u/s 194J.

Like C & F commission. Please always consider when 194J comes in to picture where specified/earned knowledge comes otherwise not. This is the basics for 194J

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