TDS on job work u/s 194c
This query is : Resolved
08 January 2009
If we have a JOB WORK bill from a party which includes material and labour amt sepreately in the same bill.Than at wat amount we should deduct TDS i.e on both on labour and material amount or only on labour amount?
08 January 2009
ON TOTAL BILL AMOUNT
08 January 2009
as per the income tax rules...you have to deduct tds on full amount of invoice even if the same includes labour and material....you cant bifurcate the labour and material part in any invoice....if the invoice contains both then deduct tds @ 2 %+cess as per sec 194 c from the full invoice amount.
i can give you an alternative...just ask the vendor to raise two different invoices...
first for the labour part from which you will deduct the tax amount.
second for the material part for which you pay the full....
this will help.
any help do write to me..
Rohin
i can give you an alternative...just ask the vendor to raise two different invoices...
first for the labour part from which you will deduct the tax amount.
second for the material part for which you pay the full....
this will help.
any help do write to me..
Rohin
08 January 2009
IF IN THE JOB WORK BILL WE CAN BIFUCATE THE LABOUR AMOUNT AND MATERIAL AMT THAN AT WAT AMOUNT WE DEDUCT TDS(ON FULL INVOICE VALUE OR ON LAB PART ONLY)
08 January 2009
When a manufacturer purchases raw material on his own and produces the goods as per the specifications of buyer, it is a case of sale of goods and not job work - Whirlpool of India Ltd. v. CIT (2007) 16 SOT436 (Delhi).
If the ownership in material passes to the buyer only at the time of delivery of goods and prior to that ownership vests with the manufacturer, it will be a transaction of sale and not subject to TDS u/s 194C. - CIT v. Seagram Mfg. (P) Ltd. (2008) 19 SOT139 (Delhi)
If the ownership in material passes to the buyer only at the time of delivery of goods and prior to that ownership vests with the manufacturer, it will be a transaction of sale and not subject to TDS u/s 194C. - CIT v. Seagram Mfg. (P) Ltd. (2008) 19 SOT139 (Delhi)
08 January 2009
You can take the benefits of two judgements given above.
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
- Off Market debit and credit transaction
- Itr 1 processing
- Showing Gift from relative in ITR for this year
- ITR returnFY25-26
- ITR 2 Short Term gain & Long term gain
- Form 10E u/s 89(1). Need clarification because experts opinions differ !!!!
- INCOME TAX ON REDEVELOPEMENT OF FLAT
- Share accounting-->fifo - capital gain - period as per fifo?
- ITR selection for salaries and capital gain less than L
- Short Term Capital gain on shares bought and sold after 2018 onwards
- ITR 1: Details for showing Exempt Income
- Gst invoice numbering and delivery challan numbering
- Sales amount in Gstr1
- E Commerce GSTR1 & 3B how to file
- GST Cancellation without jurisdiction
- Legal Opinion on Registrar's Refusal to Investigate a Society for Non-Renewal and Non-Compliance
- GST Refund_RFD-01
- Form10BD was uploaded successfully without any Error but after 24 hours, Form10BE are not available
- Annexure B utility for GST Refund
- Tax amount diff in Gstr1 and 3B in tax compare reports
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
