Doubt

as per my knowledge tds on commission only. there is no tds on reimbursement of our expenses. let us get the replies from our seniors.

If comm. amount is mentioned seperately in invoice then deduct only on comm else on whole amount. if he able to give separte bill for both then it will be very easy job.

Agree with Dilip if commission is separable, then deduct TDS on it .....Else on the gross value of the bill.....

If both amounts are shown separate, then only on commission.

since he is acting as agent TDS is only on commission alone .it is unfair to deduct on reimbursement on behalf of client in which  he acts as agent

i agree...........
 

Tax should be deducted on commission only and not the gross amount of invoice as sec 194J only covers Commission other amount is for reimbursement of expense. So it is out of the purview.

 Let us take example. Flight to place x is 10,000 and % of commission is 2%. 

Fare                 : 10,000

Commission : 200

Total                :10,200.

It you tds on total amount then it will be

TDS @ 10%   : 1020.

TDS is more than commission.

Commission agents will close their business.

TDS on Commission amount only.

TDS on commission only

 tds is on commission part only....

but when we make pmt to a c&f agent for integrated service the tds shud be deducted on gross amt

 Even in C&F also same problem. Commission will be 2000, but gross amount paid will be around 2,00,000. At 10% rate, TDS will be 20,000. More than commission. If you notice corporates are deducting tds on amount of commission and not on tds. 

But there is a case law where if the amount distinct in invoice then TDS can be deducted on the amount of commission alone. 

 but circular has been issued by income tax act ....which clarified the position...

c&f agents provide integrated service....and if tds is more asessee can always claim refund...

yes i agree with u ...they hv 2 make a separate invoic so that tds is deducted only on commission part

Definitely..agree wid sathya

ask for separate bills n deduct tds on comm. amt. only..