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T.D.S

This query is : Resolved 

17 February 2009 payment to labourers exceeding Rs50000 for plumbing work ......does it attract t.d.s ?

17 February 2009 It would fall with in the meaning of Contract and tds@2.06% will be applicable to it.

17 February 2009 IT DEPENDS ON THE STATUS OF PAYER FIRST.
AN INDIVIUAL OR HUF UNLESS COVERED BY SEC.44AB FOR THE PRECEDING YEAR,IT MAYNOT APPLY.

SIMILARLY IF THE PAYEES ARE MANY THEN THE CEILING OF RS.50000 IS APPLICABLE TO EACH PAYEE.
A DIRECT PAYMENT TO EACH LABOUR WOULD NOT BE HIT BY SEC 194 C IF EVERY SINGLE PAYMENT IS BELOW RS.20000 AND THE AGGREGATE PAYMENT FOR THE YEAR IS BELOW RS.50000.


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