This may be an interesting topic. There is an agreement to supply DVD between two companies. Company A & B. A supplies DVD at fixed intervals to B. A's invoice is Tax invoice with local VAT. B deducts Tax saying that the transaction is based on an agreement so sec 194c will be applicable.
Please share your views
194C is applicable to agreements in the nature of work contracts involving jobwork / supply of manpower etc.
As per the given facts of case, the agreement is solely in the nature of SALES, so it does not partake the nature of works contract as governed by 194C. Hence no TDS required to be deducted u/s 194c
HKC | Chartered Accountants & Business Advisors
Ludhiana
CA
View Details
RMA And Associates LLP
New Delhi
CA Inter
View Details
Malhotra Rajesh & Associates
New Delhi
B.Com
View Details
AJAY SINGH AND CO LLP
Thane
CA Final
View Details
CCI
Pro
CAclubindia
