Tds

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shrikant sharma (Querist)

22 November 2017 WE ORDER A COMPANY TO MAKE E-MAGAZINE. AT THE TIME OF PAYMENT WHICH SECTION OF TDS WILL BE APPLICABLE WHETHER 194J OR 194C.

Anand

Anand (Expert)

22 November 2017 who is giving the content? what do you mean by "making. e magazine"

Aashok Kumar Sharma

Aashok Kumar Sharma

(Expert)

27 July 2025 When you **order a company to create an e-magazine**, the applicable **TDS section** depends on the **nature of the work**:

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### ✅ **Section 194C (Contract)** – *Applicable if:*

* The company is doing **basic design, formatting, publishing, or printing** under your instruction.
* The work is **in the nature of a contract** (e.g., layout, uploading, typesetting, content provided by you).
* No element of professional/technical service (like original content creation by qualified professionals like authors, designers, or journalists).

**TDS Rate:**

* 1% if payment is to an individual/HUF
* 2% if payment is to a company/firm

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### ✅ **Section 194J (Professional/Technical Service)** – *Applicable if:*

* The payment includes **fees for professional services**, like:

* Editorial work
* Content writing
* Graphic design by professionals
* Creative consultancy
* The service involves **intellectual effort or specialized knowledge**.

**TDS Rate:**

* 10% (for professional services)

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### 🎯 **Conclusion:**

* If the company is only **executing work as per your design/content** = **Section 194C**
* If the company is **creating content, designs, editorial, etc. using professional expertise** = **Section 194J**

🔍 **Recommendation:** Review the invoice and scope of work:

* If it mentions "consultancy, creative content, editorial services" → **Apply 194J**
* If it mentions only "publication or execution of a job" → **Apply 194C**

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