Tds [Resolved] | Income Tax #1495954

This query is : Resolved

Juwairiyah (Querist)

31 October 2013 We are engaged in a business of freight forwarders where we take a order from customer ( i,e exporter / debtor ) to export goods to foreign countries and the same we forward the order to a other freight forwarder / or shipping company ( i,e. creditor / supplier )

Know my question is whether we suppose to deduct a TDS under sec 194C 2% & if yes than on which amount ?
Invoices which we received is consist of 2 heads
A> Taxable charges + service tax
B> Non taxable charges without service tax

Taxable Charges examples :
Clearing & forwarding + service tax
AC shipping charges + service tax
D V fair charges + service tax
Transport charges Etc………………..

Non Taxable Charges examples :
Air / or Ocean freight
Due Agent
Due carrier
IAAI charges Etc………………….

Further under Non- taxable we only received a bill of lading copy / or air way bills which consist of
All Non Taxable items ( of above said items ) which may be different in amount

Example Air Freight is Rs 85000/- as per airway bill / or bill of lading
But in Invoice which received from my creditor shows Rs 75000/- in her Invoice issued to me.
Or vise-a versa

Ganeshbabu K

Ganeshbabu K (Expert)

31 October 2013 1)if he is claiming any amount as a re-imbursment of out of pocket expences in a seperate bill providing original bills paid by him
.
.
then no tds applicable on these re-imbursements,rest tds applicable
.
.
2)otherwise tds applicable on all value

Ganeshbabu K

Ganeshbabu K (Expert)

01 November 2013 it looks like he is claiming in a single invoice
.
.
TDS can be done for full amount of invoice if he fails to claim re-imbursement expences along with original bills paid by him

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