Dear Experts,
I need a clarification on TDS on payment made to resorts. Recently I took my staff to a resort for one day outing. (No stay). Food was served and we used the amenities in the resort. I would like to know whether TDS is applicable for payment to resort. If so, under what section.
Regards
Bhavan
TDS will not be applicable
Yes T.D.S is applicable and the applicable Section is 194C.
Not clear with 194 C. Payment is made to resort directly. No middleman/agent. Food is served in the resort similar to food served in hotel. So it can't be considered as catering service. There is no contract with resort. Resort says TDS is not applicable.
Request clarity
Thanks
No TDS on payment made to resort for food.
.
Yes agree with above view.Actually I have erred in misunderstanding the 'resorts' as hotel rooms.
Where there is no such situation of Hotel stay etc its just case of food supply and transaction is in nature of sale
CAclubindia
