TaxTMI 
TaxTMI 
Shifting of liability of tax
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....hifting of liability of tax<br> Query (Issue) Started By: - T.SUNDARAM Dated:- 10-8-2008 Last Reply Date:- 11-8-2008 Income Tax<br>Got 2 Replies<br>Income Tax<br>The main contractor has claimed the td....
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....s and reported the turnover and paid the tax on the works given to a registered sub contractor. The Sub contractor has claime d exemption showing that the main contractor has paid the tax. Can the tax....
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.... liablitiy can be shifted to main contractor from sub contractor Reply By CA Dev Kumar kothari: The Reply: Main contractor may be is liable to make TDS from payments to sub-contractor if the conditi....
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....ons of S. 194C apply. Income of contractor and sub-contractor are assessable separately. The liability of income tax cannot be shifted to contractor. Sub contractor is liable to pay tax on his income.....
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.... however, sub-contractor may apply to his A.O. for TDS at nil or lower rate. Reply By T.SUNDARAM: The Reply: In continuation of my query , it is to be added that the issue is under SALES TAX LAWS and....
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.... not Income Tax Act<br> Discussion Forum - Knowledge Sharing ....