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TDS on transportation in purchase bill

This query is : Resolved 

24 January 2009 my company is mfg company so at the time of purchase they charge us tranportation charges if transportation charges exceeds the limit then we can deduct tds on tranportation chargea as per 194 C
is tranportation charges & forwarding charges are same

24 January 2009 If Its Added in Bill its Your Purchase Cost. He is Paying Cartage to Transporter he will liable to pay TDS.

24 January 2009 It is come under sub-contract TDS to be deducted @ 1.03% on transport amount it the limit is exceed.

24 January 2009 Payments to Transport Contractors are subject to TDS.

Payments to Supplier whether be for their raw materials cost or labour cost or overheads cost or transport cost are not subject to TDS

Whoever pays to Transport Contractors are liable for TDS, if prescribed limits are exceeded

So I agree with Sri Singh


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