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Sales commission to contractor

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(Querist)
26 September 2014 dear all can we pay commission to an individual, which has contracted with us for sales. and deduct tds @1% instead of 10%.
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CA Devanand Jethanandani

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CA Devanand Jethanandani (Expert)
26 September 2014 Commission payment attracts section 194H and hence TDS rate will be 10%.

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