TDS ON GLOW SIGN BOARD

You have to deduct TDS under Contract if the payment exceeds Rs 20000/= but if the bill  shows the material and labour portion seperately deduct TDS only on labour portion

 But if NO separation is given in Invoice. Also VAT is Charged on a flat sum , Now whats you view?

Deduct TDS on Contract under 194C

Hi all, 

TDS Rates from 01.04.2009 to 30.09.2009 under section 194C:

Payment under subcontracts/Advertising contracts value exceeding Rs 20,000 or Cumulative Payment exceeding Rs 50,000 for Individual/HUF & for Other than Individual / HUF Rate is @ 1%. 

Payment under contracts value exceeding Rs 20,000 or Cumulative Payment exceeding Rs 50,000 for Individual/HUF & for Other than Individual / HUF Rate is @ 2%.

TDS Rates from 01.10.2009 under section 194C:

Payment under any contracts value exceeding Rs 20,000 or Cumulative Payment exceeding Rs 50,000 for Individual/HUF Rate is @ 1% & for Other than Individual / HUF Rate is @ 2%.

Conclusion:

Your company arranges an individual/Firm to prepare a Glow Sign Board for displaying its brand name on its retail outlets, company should  deduct TDS on Payments made to such parties @ 1% & in case of company it will be @ 2%. 

Hi All,

Please clarify my doubt on the following:

We have recieved a Invoice of LED sign board for our new outlet, where the details is as below:

LED Sign board  - Rs.1,18,900

Vat/CST @ 12.5% -Rs.14,862.5

Total                    -Rs.1,33,762.5

Shipping,Packing & installation - Rs.31,000/-

Grand Total       =Rs.1,64,763/-

* Whether TDS is to be deducted. If yes at what Rate & on which amount.

*Can we claim input VAT

the sign board related to admin expenses and not related to mfg.,

if you have breakup separtely shipping, packing, installation., the packing and insatllation are applicable for TDS , and shipping is not applicable. otherwise you can consider all exp. shipping, packing, installation are TDS Transaction. and deduct the tds

TDS not required to be deducted