Section 194 C clearly specify the work.
Then why we need to deduct TDS u/s 194C ??
rakesh kumar
(2 Points)
Replied 16 April 2022
Section 194 C clearly specify the work.
Then why we need to deduct TDS u/s 194C ??
Ayush
(Executive )
(6232 Points)
Replied 08 February 2023
The purpose of TDS under Section 194C is to ensure that the income earned by contractors and sub-contractors is taxed at the time of receipt, rather than at the time of assessment. This helps the government in collecting tax revenue on a timely basis and helps to prevent tax evasion.
TDS is deducted at the rate specified by the Indian tax authorities, which is typically 1% for individuals and 2% for companies, subject to certain conditions.
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