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Tds on transport contractors from 1st june 2015

vivek (manager) (40 Points)

26 May 2015

I am a Transport Contarctor owning less than ten trucks but hire vehicles from Market also wich are not owned by me.

Will TDS be applicable for me from June 2015. My turnover in FY 2014-15 was around 5 crores.

regards

Vivek

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5 Replies

Deepak Tapse (Accounts Manager - Taxation) (1771 Points)
Replied 26 May 2015

I think TDS is applicable. According to the person who receives the transport service, you are the person who having more than 10 vechiles. let's see others view also.

Vishal Bhatt (CA Practice ) (39 Points)
Replied 26 May 2015

"only those who owns less than 10 transport truck in previous year can claim exemption under section 194(c) so TDS will not applicable to you"

Gautam Mehta (Accontant) (25 Points)
Replied 26 May 2015

I thing Vishal is right

ANKIT DAGA (practice) (21 Points)
Replied 26 May 2015

Agree with vishal. As per provisions no deduction will be made from sum credited or paid to transporter during previous year if he owns 10 or less than 10 goods carriage at any time during previous year and furnishes a declaration along with his pan number to person crediting or paying such amount

bhushan (audit incharge) (21 Points)
Replied 27 May 2015

Tds is applicable on you even though you dont own more than 10 trucks, as intention of law to cover big assessees within its net. However a clarification is needed in this respect whether hiring (possession) is also covered. Better for deductor to deduct as it will cost nothing to deducter.