Let me try to explain. However, I am not sure how well I can do that since I am not a Finance/Accounts guy. Our client recently contacted us and said if it is possible to pay them without deducting TDS at our end since a deduction happens at their end also. This was the reason for my first post.
Siddiqui has explain you the right point just let me know who has deduct the TDS second time.
If you take any services then please let me know which type of service you have took (i.e. its job work & its professional service or any other service)
Please reply soon so i can give you final answer.
By deduction at their end could either be tax at the later stage, This is my assumption by what the person who has posted this query.
But I have a question here myself, Lets say I want to charge a party an x amount for professional services, If I want to get the whole x amount I want to charge, Is it ethical to put it in this way that I add X+10% of the amount and charge the client so that my 10% TDS is taken care and I dont have to reduce my fees which I am actually expecting ??
Or is there any other way to avoid TDS effecting my actual charges?
Can anyone throw some light on Tax savings as I think its harsh 30% on the amount earned , Plz correct me if I am wrong.
But no client will prefer this clause, rather they will opt for inclusion of the difference amount with your proff. charges and deduct TDS from you.