Home > Experts > Income Tax > TDS on supply of manpower


Please Wait ..

Sign-in to your account


Username:
Password:

Remember Me

Forgot your password?

Sign-up now



Join CAclubindia.com and Share your Knowledge. Registered members get a chance to interact at Forum, Ask Query, Comment etc.


TDS on supply of manpower (Income Tax)

Report Abuse
This query is : Resolved


( Author )
25 February 2008

Hi,

One of my client is a outsourcing company wherein they supply manpower to corporate where the employee are on the payroll of my client in turn my client received the payment from the corporate. I would like in this case will it be covered under profession or contract for the purpose of TDS.


Madhusudhan BS

( Expert )
25 February 2008

As your client is not providing any professional services, he is engaged only in supply of manpower, it would be covered by Contact for the purpose of TDS ie us 194C


Samir

( Author )
25 February 2008

How he needs to prepare billing?Is the below the correct way.

Cost for supply of 3 staff is xxxxxx or
Staff salary for the month of Jan is xxxxx or is there any other way


S.Srinivasaraghavan

( Expert )
25 February 2008

Normally these Man-power recruiting agency charge as a proportion of the Annual CTC of the employees the data-base of whom they have supplied. They describe it as services rendered in connection with recruitment of xxxxxxxxx.



MANAS ROUT

( Expert )
25 February 2008

see, this depend upon how you have raised the biil,and what kind of agreement they have in between your client and that other company, on what basis they are allowing their manpower to work with them.

if they are providing any professional or techinical service then it wiil be covered under 194 J OR if they are manpower supplying company it will comeunder 194C or otherwise as the case may be.


Samir

( Author )
25 February 2008

But in this case manpower are on the payroll of my client who in turn raise the bill to the corporate.So is this will BEtreated under section 194C OR 194j


Devendra Mishra

( Expert )
25 February 2008

Here no proffessional service rendered, Hence under Contractor


CA Saurabh Maheshwari

( Expert )
25 February 2008

SINCE THEY ARE NOT PROVIDING ANY PROFESSIONAL OR TECHNICAL SERVICE AND THERE IS ONLY SUPPLY OF MANPOWER IT SEEMS TO BE CONTRACT AND THEREFORE TDS U/S 194C IS APPLICABLE(CONTRACT)


Sandeep Diwan

( Expert )
26 February 2008

TDS rate as applicable to contractor under section 194c will be applicable


Previous

Next

You need to be the querist or approved CAclub expert to take part in this query .


Click here to login ( Members Login ) now


Similar Resolved Queries :











submit










Quick Links





back to the top