21 March 2008
If it is in the nature of contract charges then TDS needs to be deducted at source. Failed to deduct will attract the disallowances under income tax act. Section 194C will be applicable to this.
16 July 2009
A payment to hotel / club is not in the nature of a works contract as the club is not doing anything for the payer So provisions of section 194C are not applicable. The club is only doing a business where the willing customer / client goes and enjoys the services / products. Services provided by a club do not fall in the category of professional services as peer section 194J of the IT Act.
CAclubindia
