TDS on Reimbursement of Expenses

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Dear Friends

at the time of import we hire a C & F agent for clear our goods from port . The C & F agent paid all expenses on behalf  of  us to Shipping Agent and Custom House Agent .     C & F  charge that expenses in their bill along with evidence.

My  Question is that

are we liable for Deduction of TDS on reimbursement of that expenses or not ?

Regards

CA Surendra Sharma

 

 

Replies (1)

As the charges are paid by agent on behalf of you for the work which is not in his scope , and as  it is a reimbursement expenses , TDS will not be deducted as there is no profit factor and being it as an expense only.

Condition being agent has to mention the wordings as reimbursements   in the invoice.


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