tds on job work


This query is : Resolved 

(Querist)
29 January 2011 Our company executes Electrical contracts for various organizations. Recently our company gave an order for electrical panel worth RS 3,00,000/- to some other worker. The entire material is provide by the worker only and he will raise tax invoice on us now what my doubt is at the time of paying to him whether i have to deduct TDS on that or not

Thanks in advance

31 January 2011 yes you should deduct the TDS at 1% rate.
it is sub contract


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