08 January 2014
I have been engaged in trading of cloth. My accounts get audited since my turnover is over 1 crore. Now I have sold a plot and paid Rs. 2,00,000=00 as commission to property dealer. Am I liable for TDS on above payment? if yes under which section?
You are engaged in trading of cloth that is busines and profit and loss head is Income form business. You are liable for TDS for business Expencess. Sale of plot head is Capital Gain and you are not liable to deduct TDS for commission on sales of plot. If your business is trading of Property and Real Estate then you are liable for Deduct TDS u/s 194H.
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