02 April 2013
CHA is raising a composite invoice of custom duty paid on client behalf and of services provided by him. He is issuing this bill to my company, now my co. should deduct tds on the whole invoice value or the bill amount reduced by custom duty paid by him on our behalf???? Please explain this to me whether there is any circular on this point??
02 April 2013
Dear if CHA is mentioning seperetely the amount of custom duty and his service charges,
then logically TDS should be deducted only on the service charge portion because custom duty charged by him in the bill is not his income in fact he is reimbursing that amount.
CAclubindia
