Urgent please help we have a bill Rs.400000/- having service for an event includes stage setup, sound and light, artists, photographer payment. please help regarding Tds applicability with notification.
04 June 2014
and the vendor has all the services in one bill like stage set up, Artist, models, light & sound, profesional photo graphee, av system, dancers.. so please guide
04 June 2014
and the vendor has all the services in one bill like stage set up, Artist, models, light & sound, profesional photo graphee, av system, dancers.. so please guide
04 June 2014
Gaurav, though vendor raised one bill, but all services covered u/s 194C. Since Artist is professional for vendor, not for you. And you have make contract with vendor, not with Artis/ dancers
04 June 2014
Thanks a lot for the justification.. but one CA told us that this vendor is like a Event Manager... which falls under 194 j, he is providing us the professional services.. and we took this all the service from free lances vendor for an Event Launch.. So please suggest.. whether it can be treat as a Contract or Professional services..
Can we take it as a contractor as vendor is requesting again and againg...
please guide if there is any possibility what if we make a contract or by bifurcate services or change the language of bill as charge towards contract service..
yes sir we can get change it accordingly, but please guide which option would be best for the both (deductor & deductee). by which we can save the vendor tax part and can obey the statutory norms too.
04 June 2014
one way is to take out the material bills and reimburse them separately and for the services deduct under 194J. this should reduce the TDS impact.
short deduction (deduction under 194C instead of 194J) could result in heavy interest penalties.
06 June 2014
Same query also raised in my ofc.. Then overall conclusion reached at 194c.. Beacause performer are professtional for vendor not for yours. If they perform directly with you in his individusl capacity then they will cover u/s 194j. Hence it should be covered u/s 194c
06 June 2014
Same query also raised in my ofc.. Then overall conclusion reached at 194c.. Beacause performer are professtional for vendor not for yours. If they perform directly with you in his individusl capacity then they will cover u/s 194j. Hence it should be covered u/s 194c
CAclubindia
