18 January 2015
If the supply of labour is on contract basis tax should be deducted from payment mare or credited to the contractor if single payment exceeds 30,000 or aggregate payment exceeds 75,000 in a year.
sec 40A(3) mention that deduction shall not be allowed if payment or aggregate payment made to a single person in a day exceeds 20,000.
19 January 2015
Make the payment everytime in two parts (Less than Rs.20,000) but also keep eyes to not cross the limit of Rs.75,000 in a financial year.
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