11 December 2022
Dear Friends, Kindly share your thoughts on the following query. A is the HR Manager of ABC Pvt Ltd. He along with a workshop group of 40 staff members goes to a nearby hotel/restaurant and orders for a buffet lunch for 42 people and makes a payment of 42000 for the same.
Is there any TDS liability on ABC Pvt. td. on this payment. And what will be the position if the workshop is organized in the same hotel/restaurant.
14 December 2022
Hello Sir, thanks for you reply but my CA says TDS will be deducted on it according to him to prepare buffet lunch for 40 people is an implied contract of services of catering hence liable to TDS. He says when you go a hotal and restaurant, and order for a lunch raedy to serve and eat and they charge GST on th bill then there is no TDS. But if it is a large order made on request and there is no GST charged or if its a packed lunch then also there is no tds on the bill and bill value is above 30k, the TDS @2% under section 194-C is applicable. Is he right how to counter him.
CAclubindia
