Tds-applicablity
This query is : Resolved
18 October 2011
Sir,
We are regularly paying security service charges to Chandigarh Security services. They have provided 10 people for this services for which we are paying monthly Rs. 40000.00 and we are deducting TDS @ 2%on payment or bill credit which ever is earlier. Are the deduction in wrong percentage. Is this service covered under Professional/Technical Services and rate of Taxes @10%.
Pl. suggest.
Regards,
M.K.Mandal
We are regularly paying security service charges to Chandigarh Security services. They have provided 10 people for this services for which we are paying monthly Rs. 40000.00 and we are deducting TDS @ 2%on payment or bill credit which ever is earlier. Are the deduction in wrong percentage. Is this service covered under Professional/Technical Services and rate of Taxes @10%.
Pl. suggest.
Regards,
M.K.Mandal
18 October 2011
Security services are not covered in the definition of fees for professional services as defined in section 44AA of the Income Tax Act, 1961 and fees for technical services as defined in the section 9(1)(vii).
Although it fulfills the conditions specified in the definition of work contract. Work contract is covered under section 194C Payment to contractor. TDS would be deducted under section 194C @ 2% on security service charges payable monthly.
Although it fulfills the conditions specified in the definition of work contract. Work contract is covered under section 194C Payment to contractor. TDS would be deducted under section 194C @ 2% on security service charges payable monthly.
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
- About TDS & Income Tax
- PPF interest-As Exempt Income disclosure
- Scrutiny and reopening of past returns
- Pass word to open justification report for Q1 for FY 2026-27
- Section 194JA & JB Income which ITR Form to use
- Type of Capital Gain
- F & O PROFIT REPORTING FOR AY 2026-27
- Booth for sales promotion
- Difference in GSTR3B system generated which is correct and actual Payment it asks
- GST ON TRAVELLING BILLS
- TDS on Rent received on redevelopment of building
- Tax on Deemed Capital Gain
- Indian IT Portal issue in computing tax as per UK-India DTAA
- Capital Gains on sale of residential flat
- Upload Level ValidationITR3Category of Defect B/D
- 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
- Taxation in the hands of Landowner under JDA
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
