TDS ON JOB CHARGES

This discussion clarifies whether Tax Deducted at Source (TDS) applies to job charges under Section 94C. TDS is indeed applicable on job charges, calculated on the invoice value. If materials are separately itemised, TDS is deducted on the labour component only; otherwise, it's on the total invoice value. The threshold for deduction is Rs 30,000 per single invoice or Rs 1,00,000 aggregated annually, with rates of 1% for individuals/HUFs and 2% for others.