applicability of tds

[Guest]

sir,

Our municipal corporation is paying huge amounts to Andhra Pradesh Central Power Distribution company for shifting of electrical poles etc. The APCPDCL is preparing the estimate and on the basis of the estimate, the corporation is paying the amounts to them.

in this connection, i would like to know the rule position whether it attracts TDS under income tax.

urs

chakravarthy s.n.

[CAGOPALJI AGRAWAL]

Please verify the tax status of APCPD first. 

AI Summary

TDS applicability for payments to power distributor: verify recipient's tax status to determine withholding obligation. Whether payments by a municipal corporation to a power distribution company for shifting electrical poles attract TDS under the Income Tax law is queried; the sole operative advisory is to verify the tax status of the recipient entity to determine any withholding obligation.