22 April 2016
A freelancer is receiving Per Diem for the outstation work undertaken by him apart from his professional fees. The payer deducts TDS @ 10% U/s 194 J on the professional fees and also on the Per Diem Amount. My query is A. Should this per diem amount be considered as Professional fees? B. If A is yes, then do he needs to pay Service Tax on the per diem amount also if the total fees including per diem amount exceeds 10 Lakhs
22 April 2016
1 TDS applicable on per diem amount considering it as professional fees. 2 Yes service tax applicable on per diem amount if total fees including per diem exceeds 10 lacs.
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