Tds on transporter in Rcm

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subharati banerjee

49 Points Joined May 2019

if one proprietorship firm purchase stock and the seller send stock through a transport Co. the transport charge paid by the firm. but the transport Co is in gta services(rcm).can the firm deduct tds or not against the payment of transport charge

Replies (1)

Sagar Patel

Tax and Business Consultant

11616 Points Joined July 2015

If you are paying transport charges to transporter is more than Rs. 30,000 for single invoice Or If aggregate payment in a FY exceeds Rs. 1,00,000, than you are required to deduct TDS u/s 194C.

if seller paid transport charge and you are only reimburseing the amount of transport charges to seller, than TDS not required to be deducted.