Payments made to contractors and sub-contractors-Deduction of tax at source under section 194C of the Income-tax Act, 1961, on income comprised therein-Levy of surcharge

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... charge Circular No. 505 Dated 19/2/1988 To All State Governments and Union Administrations. Sir, Subject: Payments made to contractors and sub-contractors-Deduction of tax at source under section 194C of the Income-tax Act, 1961, on income comprised therein-Levy of surcharge. According to the provisions of section 194C of the Income-tax Act, 1961, .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... d to deduct an amount equal to 1% of such sum as income-tax on the income comprised therein. However, no such deduction is required to be made from any sum credited or paid in pursuance of a contract, the consideration for which does not exceed Rs. 10,000. 2. By the Finance (Amendment) Act, 1987 (No. 46 of 1987), sub-section (4A) has been inserted after sub-section (4) in section 2 of the Financ .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... available with the Director of Inspection (RS PR), 6th Floor, Mayur Bhavan, Connaught Circuls, New Delhi-1. Yours faithfully, (Sd.) B.E. Alexander, .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X