we have a contract with A company they provide us manpower under National Apprenticeship Promotion Scheme (NAPS)
A raised bill on our company every month we deduct TDS on all basic amounts.
my question is that TDS is applicable on stipend payment.
Replies (2)
Quick Summary
This discussion explores whether Tax Deducted at Source (TDS) applies to stipend payments made under the National Apprenticeship Promotion Scheme (NAPS). While it's generally agreed that TDS is applicable on the basic amounts of manpower services provided under contract, the applicability on the stipend itself is considered a debatable point, requiring further clarification on the nature of the stipend payments.
TDS should be deducted absolutely in your case. Because you are taking the services of manpower under a contract.
In the second case, whether TDS should be deducted on stipends or not is a slightly debatable situation as there are numerous provisions and judgments.