194C - TDS on Contracts

[Guest]

Sir/Madam,

Some tailors are providing Uniforms for our Company. Cloth required is purchased by the Tailor only. Whether we are required to deduct TDS under Section 194C at the time of payment to the Tailor?

AI Summary

Does a Company Deduct TDS Under Section 194C for Payments to Tailors Supplying Uniforms? Conflicting Opinions Arise. A query was raised regarding whether a company must deduct Tax Deducted at Source (TDS) under Section 194C when paying tailors who supply uniforms, with the cloth being purchased by the tailors. One response indicated that TDS should be deducted and credited to the service provider, referencing Form 16A. Another response stated that TDS is not applicable to the supply of uniforms, and only VAT is payable.