CAN ANY ONE PLEASE SPECIFY THE RULES OF TDS AS PER IT ACT.
I READ TODAY THAT DOIT CHARGED TDS ON PURCHASE OF AIRCRFT.
THE PURCHASE OF AIR CRAFT IS A CAPITAL EXPENDITURE HENCE ANY TDS RULE IS NOT APPLICABLE ON IT
THANKS
CAN ANY ONE PLEASE SPECIFY THE RULES OF TDS AS PER IT ACT.
I READ TODAY THAT DOIT CHARGED TDS ON PURCHASE OF AIRCRFT.
THE PURCHASE OF AIR CRAFT IS A CAPITAL EXPENDITURE HENCE ANY TDS RULE IS NOT APPLICABLE ON IT
THANKS
Late CA Sampat Jain
(Chartered Accountant)
(4772 Points)
Replied 04 July 2008
TDS IS NOT DEPENDENT ON WETHER EXPENDITURE IS CAPITAL OR REVENUE . IF THE PAYMENT IS COVERED UNDER THE SECTION(S) , TDS IS REQUIRED TO BE MADE EVEN IF IT IS CAPITAL EXPENDITURE.
AS FOR EXAMPLE TDS IS REQURD TO BE MADE FOR PAYMENT TO CONTRACTOR U/S 194C EVEN IF THE PAYEMNT IS FOR CAPITAL EXPENDITURE
CAclubindia
