TDS ON COURIER SERVICE PROVIDER carrying GOODS

This query is : Open

CA-ASPIRANT (Querist)
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08 January 2011 SIR,

Question :
When A COURIER SERVICE PROVIDER VIZ DHL carries goods packet,

whether it shall be treated as transporter and exempted from the application of provision of TDS of income tax act.

Please give your opinion with reference of law.

Amritesh

CA Shailesh Kumar Bhagat

CA Shailesh Kumar Bhagat (Expert)
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09 January 2011 Courier service provider does not come under transport service. TDS will apply.

Guest

Guest (Expert)

09 January 2011 Yes, Mr. Bhagat is correct, TDS will apply.

CA-ASPIRANT

CA-ASPIRANT (Querist)
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10 January 2011 Dear Sir,

As far as i know, Services are defined in Service Tax Act ie. Finance Act, 1994 not in Income TAx act, 1961.

Further, I respect and agree to your opinioin but please explain why TDS is not applicable in such cases.

Please explain your answer wiht reference of LAW. ie wording of Section 194C of Income Tax Act, 1961.

Thanks & Regards

Amritesh

Guest

Guest (Expert)

10 January 2011 Please read carefully provision of sub-section (6) and then the definition of 'goods carriage' from clause of explanation to sec. 194C. When there are definitions in the IT Act itself, these can can not be imported from other enactments.

CA CS PRASHANT

CA CS PRASHANT (Expert)
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10 January 2012 Dear All my question is :

If the courier party is using our LR what will be the tax implication i.e whether TDS needs to be deducted or not.

Pls revert on urgent basis.