Whether laying of posts and drawing wires for contracts under BSNL comes can be termed as 'Civil Contract' and taxed under 44AD of I.T. Act 1961?
Civil Contract - laying of posts and drawing wires
B Tayub
Debate on BSNL Contracts: Are They 'Civil Contracts' and Taxable Under Section 44AD of Income Tax Act 1961? A discussion on whether contracts for laying posts and drawing wires under BSNL qualify as 'Civil Contracts' and are taxable under Section 44AD of the Income Tax Act 1961. One participant suggests that works contracts are eligible under Section 44AD, but the nature of the contract with BSNL must be verified. Another participant argues that while it is a works contract, it should not be classified as a civil contract to avoid Section 44AD. A third participant believes the scope of a civil contract is broad enough to include such works contracts, supporting eligibility for Section 44AD benefits. (AI Summary)
TaxTMI
TaxTMI