Tds
This query is : Resolved
10 June 2013
can any one guide me about what will comes under contract under TDS provisions?
CA Parul Saxena
(Expert)
10 June 2013
Any type of expenditure incurred related to work...like..printing and stationery,office maintenance. Basically you can say indirect expenditures are subject to TDS. But payment made to government department are not liable for tds deduction like...electricity bill payment, telephone Bill payment, payment of any kind of taxes or interest or penalty to government department,bank charges...
10 June 2013
Firstly thanks for replying me,but in this case a transport co purchased chasis and entered in to contract with one who build the lorry and paid to the party contract amount but not deducted tds what will be the consequences?
CA Parul Saxena
(Expert)
10 June 2013
In case of transporters tds is not to be deducted if transporter has provided PAN No..
Ganeshbabu K
(Expert)
10 June 2013
In my opinion TDS 194 C applicable .i can explain it as below
Section 194C explanation 4
(iv) "work" shall include—
(a)
(b)
(c)
(d)
(e) manufacturing or supplying a product according to the requirement or specification of a customer by using material purchased from such customer,
but does not include manufacturing or supplying a product according to the requirement or specification of a customer by using material purchased from a person, other than such customer.
So contract to build lorry from the stage of chasis would attract TDS under section 194C provided you have supplied the material/goods/spares to construct lorry
Section 194C explanation 4
(iv) "work" shall include—
(a)
(b)
(c)
(d)
(e) manufacturing or supplying a product according to the requirement or specification of a customer by using material purchased from such customer,
but does not include manufacturing or supplying a product according to the requirement or specification of a customer by using material purchased from a person, other than such customer.
So contract to build lorry from the stage of chasis would attract TDS under section 194C provided you have supplied the material/goods/spares to construct lorry
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now
Click here to login now
Similar Resolved Queries
Unanswered Queries
- Accounting treatment of AMC alongwith the purchase of Laptop
- Condonation Request sec 119(2) b -Enhancement Limit of Leave Exemption prior to AY 2023
- Unable to File TDS Q2 Return – New TRACES Portal Error
- Taxation of crypto futures in India Fy 2026- 2027
- GST Treatment of Purchases with GST Paid where Outward Supplies of Manufactured CattleFeed Exempt
- Transfer of Physical Stock Between Two Proprietorship Concerns
- Issuing of delivery challan by seller of goods
- Not ordinarily resident having partnership income in India and salary in USA is any form to filed be
- EPF ECR NEW RULES Sep 17th 2026
- Expert Help Required for TDS Refund 100000 Through TRACES – AY 2022–23
- IMPORT PURCHASE ENTRY PASSED IN BOOKS OF ACCOUNT
- FAST DS 26 Undisclosed Foreign Asset Disclosure Scheme 2026
- Regime change
- Goods sold but invoice not issued
- Tally: Imported bank entries do not show up in manual reconciliation
- Sales of goods of amount Rs97 lakhs to a party
- Confused About My Career After 12th — Cyber Security, AI or Finance? Need Guidance
- FAST-DS 2026 Under Tax Law - No recourse or support for person declaring via this scheme?
- Guidance Needed: Linking Multiple Form 26QB Payments and Responding to ITD Defaulter Notice
Trending Online Classes
-
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English
CA Bhanwar Borana & CA Shubham Keswani
Subscribe to Pro
Join an elite circle of professionals
CAclubindia
