TaxTMI 
TaxTMI 
Dear Sir/Madam,
Is TDS applicable on reimbusement of Expenses if vendor charges service tax on reimbursement?
TDS Applicability
14 Jan 2012 
1 Reply 
1540 Views Asked by
Guest 
TDS applicability on expense reimbursements: pure reimbursements not subject to TDS, consolidated invoices attract TDS.
TDS applicability depends on invoicing: pure reimbursements invoiced solely as reimbursements are not subject to TDS, whereas a consolidated invoice combining services and reimbursements renders the invoice amount subject to TDS withholding because the reimbursement is not separately identified and effectively forms part of the payment for services. (AI Summary)
TDS applicability depends on invoicing: pure reimbursements invoiced solely as reimbursements are not subject to TDS, whereas a consolidated invoice combining services and reimbursements renders the invoice amount subject to TDS withholding because the reimbursement is not separately identified and effectively forms part of the payment for services. (AI Summary)