TDS on payments to contractors: mandatory withholding at payment or credit, with specified exemptions and invoice rules. Section 194C requires persons paying residents for carrying out work under a contract with a specified person to deduct TDS at prescribed rates at the time of credit or payment; crediting to any account (including suspense accounts) triggers the deduction obligation. The section prescribes invoice treatment where customer-supplied material is involved, lists exemptions for personal payments, small-value transactions subject to an aggregate threshold, and goods-carriage receipts on furnishing of PAN, and defines key terms including specified person, contract, work, and goods carriage.
Cases where this provision is explicitly mentioned in the judgment/order text; may not be exhaustive. To view the complete list of cases mentioning this section, Click here.
Provisions expressly mentioned in the judgment/order text.
TDS on payments to contractors: mandatory withholding at payment or credit, with specified exemptions and invoice rules.
Section 194C requires persons paying residents for carrying out work under a contract with a specified person to deduct TDS at prescribed rates at the time of credit or payment; crediting to any account (including suspense accounts) triggers the deduction obligation. The section prescribes invoice treatment where customer-supplied material is involved, lists exemptions for personal payments, small-value transactions subject to an aggregate threshold, and goods-carriage receipts on furnishing of PAN, and defines key terms including specified person, contract, work, and goods carriage.
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