Situation 1: B Ltd. will not deduct TDS on payment of Debit Note. B Ltd.
should deduct TDS on payment of Rent to X Ltd. made by A Ltd. on behalf of B
Ltd.
Situation 2: B Ltd. will not deduct TDS on payment of Debit Note instead B
Ltd. will deduct TDS on Service Charges of Rs. 2 Lakh only.





On Thu, Nov 20, 2008 at 10:34 AM, K.Sankarasubramanian (Finance/TVS-E) <
[EMAIL PROTECTED]> wrote:

>   *Pl let us know what is final position on whether TDS to be done on the
> claims for reimbursement of expenses as follows:*
>
> * *
>
> *Situation 1 : *
>
>    - *A Ltd pays Rs 20 lacs Rent to X Ltd – on behalf of B Ltd due to
>    funds constraints of B Ltd.*
>    - *A Ltd  raises Debit Note on B Ltd for rent paid expenses
>    reimbursement of the same Rs 20 Lacs by attaching all the required proof
>    *
>    - *Question is whether B Ltd shall deduct TDS on this debit note
>    payment to A Ltd*
>
> * *
>
> *Situation 2 : *
>
> * *
>
>    - *A Ltd pays Rs 20 lacs Rent to X Ltd – on behalf of B Ltd due to
>    funds constraints of B Ltd.*
>    - *A Ltd raises Debit Note on B Ltd for rent paid expenses
>    reimbursement of the same Rs 22 Lacs by attaching all the required proof. 
> Rs
>    20 lacs for rent and Rs 2 lacs as Service charges*
>    - *Question is whether B Ltd shall deduct TDS on this debit note
>    payment to A Ltd*
>
> * *
>
> *Pl clarify*
>
> * *
>
> *KSS**/20.11.2008*
>
> * *
>
> * *
>
> * *
>
> * *
>
>    *K Sankarasubramanian *
>
> *Taking IT to the heart of India*
>
> *Senior Manager - Finance*
> *TVS Electronics Limited
> *DP,34 South Phase,
> Industrial Estate, Guindy,
> Chennai 600 032. India.
>
>  Tel : +91-44-22321166
> Fax : +91-44-22327577
> Mob : +91-98400 93176
> Mail : [EMAIL PROTECTED]
> Web : www.tvs-e.in
>   ------------------------------
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-- 
Thanks & Regards.
CA Deepak Pahuja

Mobile: 9215176462

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