My client is a Chit company, the company act as a foreman and getting commission on each auction. The chits conducted on monthly auction basis. The company collects cash from the participants of the auction and pay to the person who quoted the least bid in the auction after withholding its commission.
Whether the section 269ST is applicable to the Chit Company for the above transactions?
Even if it is applicable, whether each auction is a separate auction or whole chit for the total period considered as a single transaction or an event?
What is meant by single transaction and one event?
Kindly let me know.