Tax Deduction at Source (TDS)

This query is : Resolved 

12 March 2009 Whether Sale of bandwidth (broadband service) by Internet Service Providers, having license from Department of Telecommunication are covered under section 194C or 194J. or whether it is a transaction of sale only. Kindly response according to the TDS applicability on the same.

Thanks & Regards

12 March 2009 This will not cover under Technical Services therefor 194J will not be applicable, so 194C will be applied.

I believe Case Law is: Skycell Communications Limited vs DCIT somewhere around in the year 2001.

12 March 2009 Thanks for Reply

But whether it is not a mere sale-purchase transaction.
Refer Case law:
CIT Vs Estel Communications (P). Ltd. (2008) 217 CTR 102 (Del)


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