TDS on Reimbursement of Expenses

This query is : Resolved 

12 September 2008 Please let me know, if there is any requirement for deduction of tds on payment in the nature of reimbursement of expenses.


Thanks & Regards,
Mukesh Agarwal

12 September 2008 As per ruling in ITO v' Dr Willmar P Ltd (2005) SOT 71 following have been concluded -

1.If gross bill is inclusive of reimbursement of expenses ,TDS u/s 194C or 194J applicable

2.If separate bill has been raised for reimbursement of expenses ;no TDS applicable

Please further refer Q No 30 on Circular Number 715dated August 8,2005


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