Please give me expert openion on applicable TDS % (2% or 1%) under the following situation.
Company A has given a contract (with material) to a construction Co. X for construction of A's Building. Co. X is buying the required construction material and paying it's freight to the transport agencies. Now Co. X will deduct TDS @ 1% against freight payment (like it does for it's subcontractors) or @ 2% (as under normal circumstances a buyer deducts for transportation of its goods) ?
regards
CAclubindia
