Tds on advocate fees including clerk charges

Kindly confirm whether TDS will be deducted on clerk cherges u/s 194J if the clerk charges is included in the legal bill of the advisor.

I think TDS u/s 194J will not be attracted on Clerk chrges provided Clerk produce the separtate bill & their total amount does not exceed Rs 30000/-

Kindly confirm am I right or wrong ??

 

 

 

 

Replies (5)
Quick Summary
TDS u s 194J applies on total legal bill including clerk charges if not separately billed. If billed separately and within threshold no TDS. Reimbursements separately billed may not attract TDS.

Can't isolate clerical charge (like typing charges, conveyance etc)  with professional fees of an advocate, hence  its included in the blll, and TDS u/s. 194J to be deducted over total bill. Yes, no TDS upto threshold limit of 30K.

These amount with clerk charges are proff. charges & TDS should be deduct on both amount

Whether the TDS is required to be deducted on reimbursement amount(hotel bills etc..) ????

For any reimbursement, seperately billed, no TDS to be deducted.

@ Vishal:

For more clarification read very good articles

1. by CA rohit Gupta @  caclubindia.com/articles/tds-u-s-195-reimbursement-of-expenses-23125.asp

& 2. By S K Tyagi ..........deductibility-of-tds-on-reimbursement-of-expenses

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