Tds on advertisement expense

Others 11945 views 9 replies

Hi,

Does the TDS appicability on advertisement expenses falls under 194C or 194J

Thanks in advance

Replies (9)

it falls under 194c

As per section 194C of Income Tax Act 

Any person responsible for paying any sum to any resident (contractor) for carrying out any work (includes supply of labour) in pursuance of a CONTRACT between the contractor and the specified person then the specified person has to deduct TDS on the amount paid or payable for the work done.

Here work includes:

1.Advertising

2.Broadcasting,telecasting of products 

3.Catering etc.,

ASSUMPTIONS: There is a contract between Advertiser and Advertisee.

Based on the above assumption TDS on Advertisement falls under section 194C.

If there is no contract then it falls under Section 194J treating the advertisement as technical service.

its under preview of 194 C .

agree with all above
it's 194 c as 194 j deals with TDS on technical or professional services

Section 194J deals with TDS on technical or professional services.

It is 194C...Tds on contract

have any notification from income tax for same

Hi,

TDS u/s 194C is applicable for advertising services. This has been further explained and clarified in the attached document.


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