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Reg - TDS on food purchase

This query is : Resolved 

21 January 2023 Dear Experts
Gud morning all....
In our university we have planned to provide food for maintenance team on daily basis from canteen (which is located in our campus for rent basis). Now I received food bill from them which also exceeded the threshold limit (bill value Rs 60,000/-) their pan belongs to INDIVIDUAL there is no service tax or GST in the bill. now my question is do I need to deduct TDS @ 1% from the bill value or not? Experts advice mee.

21 January 2023 Yes, TDS on catering services is required to be deducted under Section 194C of Income Tax Act 1961 at the rate of 1% or 2% (as the case may be) for payments to residents.


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