I have purchased a software from a company which they developed from scratch. should i deduct TDS or capitalise the software?
Menu
TDS PURCHASE OF SOFTWARE
Replies (7)
Quick Summary
If it is purchase of readymade software, no need to deduct TDS, capitalize it.
Thanku Sir. But the party has mentioned "Software Development Project" in invoice. Then also we have to capitalize it and no TDS deduction.
If you have not ordered the software as per your requirement/configuration, it is not a software development which require TDS deduction. Is it the only software copy in the market, or similar copies or CDs are available off self?
Services rendered for development of software is subject to tds @ 10%
BUT PURCHASE OF SOFTWARE IS NOT SUBJECT TO TDS.
BUT PURCHASE OF SOFTWARE IS NOT SUBJECT TO TDS.
Yes we have ordered the software as per our requirement and configuration.
In that case TDS is deductible @ 10% under section 194J of IT act.
Yes. If you have ordered the software as per our requirement and configuration then TDS shall be deducted @ 10% under section 194J.
Recent Topics :
- TAX TREATMENT AND ACCOUNTING ENTRIEOF PERQUISITES
- Gifting money to my father-in-law (my husband's da
- GSTR-1 JSON from marketplace exports (Myntra / Ama
- Question on buy back of shares
- Saving corporate tax completely on profit from rea
- Hi experts need some helps
- A query regarding GST and Place of Supply:
- ADT-3 not filed by previous Auditor
- Revising salary on 24Q Q4 FY 25-26
- LTCG: Home Loan Principal Repayment?
Related Topics :
CAclubindia
