TDS
This query is : Resolved
26 February 2011
If instead of showing comission, discount is given then is the same (discount)liable for deduction of TDS?
26 February 2011
Pl go through explanation (i) to section 194H. Seems the name change will not help you for non deduction.
26 February 2011
Please elaborate your query because Commission is paid to Agent and Discount is allowed to Customer
27 February 2011
Sir,actually what i am trying to put across is ,Supposing (in service sector) ,Mr.A gives business to X Ltd. and in consideration for the same X Ltd. wants to give him commission.But, commssion u have to deduct TDS.So,instead of naming it as commission X Ltd gives Mr.A a discount. Is that discount liable for TDS deduction?
27 February 2011
If discount is in the nature of trade discount and can be proved as per normal practice of the trade and documents then it is not liable to TDS.
27 February 2011
As I understand from Query, Mr A is procuring business from Customers. For this purpose, Mr A gets some amount from X Ltd.
In this case, business transactions are between Custormer and X Ltd. Any profit or loss from such transactions will be completely of X Ltd
Mr A gets some amount from X Ltd IRRESPECTIVE of whether busiess transactions beteen Customers and X Ltd results in proit or loss
By whatever name amount paid to Mr A is called, it will be attracted by the TDS provision.
In this case, business transactions are between Custormer and X Ltd. Any profit or loss from such transactions will be completely of X Ltd
Mr A gets some amount from X Ltd IRRESPECTIVE of whether busiess transactions beteen Customers and X Ltd results in proit or loss
By whatever name amount paid to Mr A is called, it will be attracted by the TDS provision.
27 February 2011
Mr Subba Rao is correct. If Mr A is different from customers of Mr X than any amount paid to Mr A in any name will be liable for TDS.
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
- STCG....................................................
- Supply through E-commerce Operators
- Sales return eway bill
- Relief u/s Section 89
- TAN for Partnership
- AMOUNT RECEIVED UNDER COMPULOSRY ACQUISITION OF AGRICULTURAL LAND
- GST Registration Horse racing
- Section 43B(h) – MSME Invoice Paid Before Year End but After 45 Days
- Is E Way Bill Valid If Transport ID Not Mentioned in PART A But Vehicle details mentioned in PART B
- Specified Profession
- Section 54F - Exemption on LTCG in 2026 for HP purchased in 2023
- Sales amount in Gstr1
- CG after sale of flat
- E Commerce GSTR1 & 3B how to file
- GST Cancellation without jurisdiction
- Legal Opinion on Registrar's Refusal to Investigate a Society for Non-Renewal and Non-Compliance
- GST Refund_RFD-01
- Form10BD was uploaded successfully without any Error but after 24 hours, Form10BE are not available
- Annexure B utility for GST Refund
- Tax amount diff in Gstr1 and 3B in tax compare reports
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
