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What is a letter of payment?

A demand letter for a payment refers to a request made for money owed by a debtor. In most cases, a demand letter is the last notice made to the debtor regarding a pending payment. The term demand letter may refer to a formal document sent to a debtor mainly after defaulting on their payment obligation.

Which of the following are mode of payment to contractor?

Under section 194C, tax is deducted for contractor payments either at the time of the amount being credited or at the time of payment. Additionally, this payment can be either in the form of cash, cheque, or other modes.

What is the meaning of payment in terms of construction?

Introduction. In general terms, payment is the transfer between parties of some form of value (such as funds, services, assets) in an agreed exchange. This can be for goods, services or to fulfil a legal obligation such as a debt.

How often and at what minimum amount may the contractor request progress payments?

The Government will make progress payments to the Contractor when requested as work progresses, but not more frequently than monthly, in amounts of $2,500 or more approved by the Contracting Officer, under the following conditions: (a) Computation of amounts.

What are the 4 types of contracts?

4 Types of Construction Contracts Lump-Sum Contracts. Cost-Plus-Fee Contracts. Guaranteed Maximum Price Contracts. Unit-Price Contracts.

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