Tds on commision
This query is : Resolved
01 December 2008
Hi,
I am working in company.our company is taking a service from a firm on refunds of Duty drawback.This firm has charded their fees by 0.75% of the refunds of drawback + service tax(12.36%).I want to know that on which rate we have to deduct TDS.currently we are duducting by 2.266%(194C).pls suggest me On which rate i should deduct TDS and why?
I am working in company.our company is taking a service from a firm on refunds of Duty drawback.This firm has charded their fees by 0.75% of the refunds of drawback + service tax(12.36%).I want to know that on which rate we have to deduct TDS.currently we are duducting by 2.266%(194C).pls suggest me On which rate i should deduct TDS and why?
Ram Avtar Singh
(Expert)
01 December 2008
on commition under section 194H tds 10.30% should be dedut.
K V Subba Rao
(Expert)
01 December 2008
Obviously rate of TDS depends on nature of work. So you take a clear view on this depending on actual details of service which you must be aware of.
To be on safe side, propose recovery u/s 194-H (10%) instead of u/s 194-C (2%). Then the firm will come out with copies of Bills showing TDS deductions for similar work, if made by other Companies u/s 194-C.
To be on safe side, propose recovery u/s 194-H (10%) instead of u/s 194-C (2%). Then the firm will come out with copies of Bills showing TDS deductions for similar work, if made by other Companies u/s 194-C.
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
- Depreciation Chart Companies Act
- GST Audit whether Govt Companies are exempt?
- PTRC Show Cause Notice on Email
- Accounting treatment of AMC alongwith the purchase of Laptop
- Capital Gail Exemption Certificate
- Unable to File TDS Q2 Return – New TRACES Portal Error
- MSME disclosure and disallowance
- Taxation of crypto futures in India Fy 2026- 2027
- Issuing of delivery challan by seller of goods
- Not ordinarily resident having partnership income in India and salary in USA is any form to filed be
- GST Treatment of Purchases with GST Paid where Outward Supplies of Manufactured CattleFeed Exempt
- Expert Help Required for TDS Refund 100000 Through TRACES – AY 2022–23
- IMPORT PURCHASE ENTRY PASSED IN BOOKS OF ACCOUNT
- FAST DS 26 Undisclosed Foreign Asset Disclosure Scheme 2026
- Regime change
- Goods sold but invoice not issued
- Tally: Imported bank entries do not show up in manual reconciliation
- Sales of goods of amount Rs97 lakhs to a party
- Confused About My Career After 12th — Cyber Security, AI or Finance? Need Guidance
- FAST-DS 2026 Under Tax Law - No recourse or support for person declaring via this scheme?
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
