TDS Questions relates to Scrutiny

Hi,

First  of all tell me who raised biil for the supply of  goods _individual  or ABC Transporter Co.

As per my opinion, whenever payment made to a contractor for more than 50000 in a year then Tax is required to duuct. in the given case payment is made to different person but on behalf on same person. therefore, if payment is made in the name of ABC transporter then tax is required to deduct. otherwise no TDS apply

in case of all transport bill has in the name of ABC Transport co, than wheater or not the payment made to ABC Transport or on behalf of ABC Transport to other parties than, 

                     pratical assumtion that in u r books the liability of creditors is ABC Transport, because all bill in the name of ABC Transport. so r liability is 2 Deduct TDS on all bill Rs. 84,000/-, when we book d bills

this is a tractical case i m handling, when i was job in a company.

but let me first some expert arguments r pending, so give d time,

exstremly thanks 2 tejal, sunny and shailendra 4 sharing with us, and best of luck

Yes I agree with Sunny. as payment made to a service provider or contractor for more than Rs.50000/- in one year then Tax is desired to subtract or deduct. In this case compensation is completed for a unlike person but on behalf of same person. So, if payment is made in the name of ABC transporter then tax is required to deduct. Otherwise no TDS  apply.

From 01/10/09, if the transporter provides his PAN to the payer, no TDS will be liable to be deducted. Refer 194C as amended by Finance (No 2) Act, 2009.

TDS is to be deducted before that date but in your case, the amount doesnt crosses that limit before october if you are talking about PY 2009-10.