05-13-2011, 05:13 PM
Our Company purchase Water Tankers for Rs600/- each, total monthly expense Rs4800/-, yearly Rs57600/- from a single water tanker supplier.
Do we have to deduct income tax from this water tanker supplier. if yes then tax rate 3.5% or 6% (also section 153 + ?).
please also guide for the minimum threshold for deduction of income tax if 2 or 3 different suppliers are used.
(Please also note that water tanker suppliers purchase water from tubewell owners and add their margin and sell to us on their own tanker bill e.g they Pay Rs400/- to tube well owner Rs200/- their own margin)
If above can be treated as working as commission agent. What will be the tax in this case.
Do we have to deduct income tax from this water tanker supplier. if yes then tax rate 3.5% or 6% (also section 153 + ?).
please also guide for the minimum threshold for deduction of income tax if 2 or 3 different suppliers are used.
(Please also note that water tanker suppliers purchase water from tubewell owners and add their margin and sell to us on their own tanker bill e.g they Pay Rs400/- to tube well owner Rs200/- their own margin)
If above can be treated as working as commission agent. What will be the tax in this case.
