Dear Sir,
A truck operator carries goods for a Company. The company issues the postdated freight cheque so, a third party pays freight amount in cash to truck operator. For this the third party charges 5% commission from the truck operator. The truck operator instructs the company to issue the freight cheque infavour of the third party.
In this case, Company will book freight in whose name truck operator or that third party.
I am asking this question because these truck operators do not provide their PAN No. They will also not allow you to deduct 20% TDS. These people are not ready to understand any income tax rule. They are only concerned about the freight in cash.
Transport sector is very much unorganized. In some places only unregistered transporters are available.
So, if you want to run your business you have to pick up vehicle from these un organized truck operators.
If your answer to the above question is Truck Operator.
What is the way that the third party can act as an transporter so that the company can book freight in the name of the third party.
Regards
Ashok Kumar Modi
CAclubindia
