Hello Everyone,
I m working for an NGO. We are conducting a Market research on certain issues. So we hired a market research agency. Now such company has raised a invoice of 25% of the total contract price. What i want to ask is do i need to deduct TDS on it and Under which section? Please reply.
Thanks.......
Section 194C (if an individual/HUF then 1% and if others the 2%)
market reserach is a professional services so u need to deduct TDS u/s 194 J.
it is not to consider that you have a contract with them.
it is professional service then 194 J is applicable
if market research services are on contract basis than 194C othervise 194J in professional services. noramally under section 194J.if it is on contract basis than specified in the agreement.
Agreed with CA Rahul Sharma.
Generally Section 194J is applicable., but if specified in the agreement as contract, then section 194C can be applied.
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if market research services are on contract basis than 194C othervise 194J in professional services. noramally under section 194J.if it is on contract basis than specified in the agreement. |
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agree with mr ankit mehra
CAclubindia
