TDS ON REIMBURSEMENT

[sandeep sain]

Dear Sir,

We have one labour contractor in our company and they charge uniform expenses also in their bill. Can we deduct TDS on uniform expenses also.As well where we are not liable to deduct TDS on reimbursement amount.

[Ganeshan Kalyani]

Yes you need to deduct Tds.

AI Summary

TDS deduction: withhold tax on uniform expense charges billed by a labour contractor, per advisory response. The advisory reply affirms that withholding tax (TDS deduction) must be applied to uniform expense charges included in a labour contractor's bill; although the query also asked when reimbursements might be exempt from withholding, no further exceptions or conditions were provided.