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Plese answer my Query

05 August 2010

At one of my client place who is a Car Dealer 'they have rented premises which is owned my MR. X,the client is liable for TDS on rent.My client deducts TDS for the Rent so provided ;Also the same Landlord provides additional services of House Keeping ,alongwith the rented premises.The other Services include Repairing Services of Machines as well fitting & installation of Machines to the Client.

Now my Question is the Other Services so Provided will be covered under which Section for TDS ?Is this be covered under Professional Services or Contract?

Please answer my Query.

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11 Replies

Shan Antony (Industrial Trainee) (243 Points)
Replied 05 August 2010

I think it will be covered u/s 194J. Not sure though........

Aditya Maheshwari (CA in Practice) (35867 Points)
Replied 05 August 2010

Maintenance contracts - Routine maintenance contracts including supply of spares would be covered under section 194C. However, where technical services are rendered, the provisions of section 194J will apply in regard to tax deduction at source—Circular : No. 715, dated 8-8-1995.

SHWETA GERA (Financial Services) (938 Points)
Replied 05 August 2010

ITS BETTER TO POST UR QUERY UNDER EXPERT SECTION TO GET EARLY RESPONSE

tanuj sharma (CA-PCC) (47 Points)
Replied 06 August 2010

first one is in u/s194C and another one is in194J technical services

shyam sundar (Article Assisstant) (183 Points)
Replied 06 August 2010

service rendered for house keeping cannot be treated as professional or technical services, thus it will be treated as works contract u/s 194 C..

navya (CA PCC) (27 Points)
Replied 06 August 2010

I appeared for pcc exams in this may and i was not able to clear my 2nd grp

i got 38 in information technology

can u pls suggest me how to get prepared for that subject

Manoj BG (Tax Professional and in Service) (1795 Points)
Replied 06 August 2010

DEAR ALL,

NATURE OF SERVICE IS MOST IMPORTANT FOR DETERMINING WHETHER IT IS COVERED BY SEC 194C OR 194J. IF THE NATURE OF SERVICE IS OF THE ROUTING MAITENANCE CONTRACT, IT SHOULD BE COVERED BY THE SEC 194C.

IF THE NATURE OF SERVICE IS NON RECURRING IN NATURE AND OTHER THAN MAINTENANCE CONTRACT, IT WOULD BE COVERED BY SEC 194J AND CHARGEABLE @ 10%.

SOMETIMES, CONTRACT MAY CONSIST OF BOTH SERVICE I.E. ROUTINE MAINTENANCE SERVICE (RMS) AND SPECIFIC TECHNICAL SERVICE (STS) CONTRACT. IN THAT CASE, IF THE SEPERATE CHARGES HAS BEEN SEPCIFIED FOR SERVICES, THEN RMS CHARGEABLE TO 194C AND STS CHARGEABLE TO 194J. IF NO SEGREGATION GIVEN, THE MOST DOMINANT FACTOR OF SERVICE SHOULD BE CONSIDERED IMPORTANT TO DETERMINE WHETHER CHARGEABLE TO 194C OR 194J.

REGARDS,

MANOJ

1 Like

(Guest)

Originally posted by : Aditya Maheshwari
	Maintenance contracts - Routine maintenance contracts including supply of spares would be covered under section 194C. However, where technical services are rendered, the provisions of section 194J will apply in regard to tax deduction at source—Circular : No. 715, dated 8-8-1995.

Nayana (Service) (56 Points)
Replied 14 October 2010

We have recd Show cause notice from IT Dept against show cause for default u/s 201(1) / 206C(7). In this notice they are charged short deduction chgs and interest. but we dont revise our return. can u suggest us how to calculate short deduction by Income tax dept.

keerthi (office assistant) (35 Points)
Replied 20 July 2011

I HAVE TO REVISE RECTIFICATION ORDER U/S 154 (CPC REFERENCE NO. : CPC/0910/T4/1101524694 DATED 19.05.2011 AY : 2009-10). WHILE I TRYING TO REVISE, I AM GETTING ERROR REPLY THAT " INPUT FIGURES ARE NOT MATCHING" BUT I CHECKED THOROUGHLY ALL THE FIGURES GIVEN BY ME ARE CORRECT. HOW TO GO FURTHER. PLEASE HELP ME.....

My email. ID is : akshi753 @ gmail.com