10 January 2017
Actually TDS @2% is to be deducted by company while paying amount towards advertisement expenses if it exceeds Rs.30000. The amount Rs.30000 is paying amount or Bill Amount Tell me that Bill amount is Rs.28500 Service Tax @ 15% is Rs.4275 total Amount is Rs.28500+4275=32775 whether TDS is to be deducted or not Please clarify my doubt sir
10 January 2017
In the above case TDS should not b deducted. The reason behind this is TDS is deducted exclusive of Taxes, i.e, on Gross amount(only if the amount exceeds the limit mentioned under respective section). TDS is deducted u/s 194C, for advertisement, the limit is 30K single bill and 1 L annually and as per ur case the amount is not exceeding 30K, so TDS should not b deducted.
CAclubindia
