Tds or service tax on freelancer service

TDS 2123 views 9 replies

Dear all, 

Please solve my query regarding the TDS deduction on Freelancer service taken. How much TDS to be deucted on Freelancer payment or it comes under service tax. Please explain. If TDS tobe deducted then TDS on professional fees / TDS on contractual payment or any other will applicable

Replies (9)

Freelancer means a person who renders a service independently and not employed. Pl elaborate on the nature of service. 

Dear Mam

We are web development company. we will hire various employees on a contractual basis ( as a freelancer) for particular work assignment  say for Marketing / Computer engineer /accounts etc. 

So how much TDS to be deducted

TDS @ 10% WILL BE APPLICABLE

Jitender

Section 194J will be attracted for which tds rate is 10%.

Thanks,

Can anybody tells whether the payments made to canteen for meals comes under TDS 194 C ?

Dear Murnal

 

Payments made to canteen for meals won't come under any section.

Saleem sir , Payments are made by the company to canteen for its  employees food at everage 15000 per month

Dear Murnal

Then the payments are covered U/s194C.
Here the aggregate of the amounts to be credited or paid during the financial year exceeds 75000/- the company shall be liable to deduct income tax U/s194C.

In this case canteen services will be covered under catering which is being included in the definition of "work" in S.194C.

Thank you sir


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