TDS on gifts to sales man
This query is : Resolved
23 July 2009
A Partnership firm engaged in the business of selling medicines is providing INCENTIVES to its representatives for selling the products and making the members.
further it is distributing some GIFTS like mobiles, TV etc to its representatives on achieving certain targets.
I want to know that, is the firm liable to deduct the TDS on the INCENTIVES and GIFTS. If yes what are the rates and under what section.
further it is distributing some GIFTS like mobiles, TV etc to its representatives on achieving certain targets.
I want to know that, is the firm liable to deduct the TDS on the INCENTIVES and GIFTS. If yes what are the rates and under what section.
23 July 2009
Check following things,
1. Is representatives are employees of the firm
2. If yes, then gifts above 5000 per year per person is taxable in the hands of employees as salary.
3. If they are not employees then it will be considered as sales promotion expenses, necessary TDS needs to be deducted.
1. Is representatives are employees of the firm
2. If yes, then gifts above 5000 per year per person is taxable in the hands of employees as salary.
3. If they are not employees then it will be considered as sales promotion expenses, necessary TDS needs to be deducted.
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
- Tax on Deemed Capital Gain
- Scrutiny and reopening of past returns
- Type of Capital Gain
- Booth for sales promotion
- Exiting partner in partnership firm in gst portal
- Regarding ITR filing with more value than showing in AIS/TIS
- F & O PROFIT REPORTING FOR AY 2026-27
- ITR-Capital Gain
- TDS _Long term Capital Gain ref.sec 214 Table 2
- Housing Society-ITR5
- TDS on Rent received on redevelopment of building
- 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
