Tds applicability
This query is : Resolved
20 July 2019
Dear Experts,
we have imported some materials and payment made to our freight and forward agent but he issued invoice with corresponding supporting documents on which third party also mention name of our companh and not of CHA and GST Credit given to us. Now we are making payment to our CHA as reimbursement of expenses and no tds deducted accordingly. I want to know whether is it correct ? I guess TDS is deductible by us bcz third party has issued invoice in our name.
Regards,
we have imported some materials and payment made to our freight and forward agent but he issued invoice with corresponding supporting documents on which third party also mention name of our companh and not of CHA and GST Credit given to us. Now we are making payment to our CHA as reimbursement of expenses and no tds deducted accordingly. I want to know whether is it correct ? I guess TDS is deductible by us bcz third party has issued invoice in our name.
Regards,
20 July 2019
Your Guess is right
As third party raised bill in your name and CFA must have not deducted Tax at source , You need to deduct TDS under sec 194(C)
It has been held in case of Assistant Commissioner of Income-tax, Circle-1(1), Panaji, Goa Vs Zephyr Biomedicals* that Freight to C&F agent wasn't reimbursement and liable to TDS as agent didn't made TDS while making payment to Airlines
https://www.taxmann.com/topstories/101010000000163424/freight-to-cf-agent-wasnt-reimbursement-and-liable-to-tds-as-agent-didnt-made-tds-while-making-payment-to-airlines.aspx
As third party raised bill in your name and CFA must have not deducted Tax at source , You need to deduct TDS under sec 194(C)
It has been held in case of Assistant Commissioner of Income-tax, Circle-1(1), Panaji, Goa Vs Zephyr Biomedicals* that Freight to C&F agent wasn't reimbursement and liable to TDS as agent didn't made TDS while making payment to Airlines
https://www.taxmann.com/topstories/101010000000163424/freight-to-cf-agent-wasnt-reimbursement-and-liable-to-tds-as-agent-didnt-made-tds-while-making-payment-to-airlines.aspx
Message likes :
1 times
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
- Claiming exemption of perquisite for employee-owned car under New Tax Regime in ITR-2
- Under construction property in ITR
- Pass word to open justification report for Q1 for FY 2026-27
- Gift of mutual fund units to daughter
- PPF interest-As Exempt Income disclosure
- Not able to file ITR
- Reporting of STCG on Property in ITR
- Building tax payment deduction in rental Income
- Upload Level ValidationITR3Category of Defect B/D
- Which ITR To be filed by dentist
- PF Taxable Income
- Clarification on Tax Audit Applicability and Reporting of F&O Transactions in ITR-3
- Interest credited in FY2025-2026 & TDS therein by EPFO does not reflect in AIS or Form 26AS
- 44ad eligble money lending interest
- Delisted shares sold in off market/ Rebate u/s87A
- In Exports Sales HSN details where to fill
- Opting out" of regime provided under subsection (1A) of Section 115BAC but Form 10IEA is not filed.
- Difference in tax comparison report
- Gst invoice numbering and delivery challan numbering
- Sales amount in Gstr1
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
