Tds on transportation

agree with Mr. Prashant.... no TDS in such case also...

Originally posted by : CA LOVELY ARORA
	agree with Mr. Prashant.... no TDS in such case also...

The text in 194C is as follows: If Recipient is transport contractor , and he furnishes PAN tax is not deductible. what does it intent by the word transport contractor/ operator.

Therefore there is  a doubt, that if a contractor doing various jobs, also performs transportation jobs, than whether he will get exemption from TDS for transportation amount.

Dear Sir,

How you came to such wordings of sec. 194C?? It is Sec. 194C(6): "(6) No deduction shall be made from any sum credited or paid or likely to be credited or paid during the previous year to the account of a contractor during the course of business of plying, hiring or leasing goods carriages, on furnishing of his Permanent Account Number, to the person paying or crediting such sum."

It is saying that you are making payment to a contractor and that's too during the course of business of plying, hiring or leasing goods carriages... i think you are reading from some other source.. it's the wordings of the updated income tax act.... sorry, if you are taking it to some other sense... but yes, TDS is not required to be deducted on such case after having interpretation of the above line..

Best Regards,
CA Lovely Arora
ca.lovelyarora @ gmail.com
 

Ok.. Agreed and thanks for all the replies. but still have one more doubt i.e whether any other requirement is there for showing the payments made to transporter without deduction of TDS in TDS return, or it is not required to be shown in TDS return in present context.

Please advise me.

Dear Sir,

yes, it is required to be shown in the TDS return...