TDS on Service Tax Amount.

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

04 October 2010 Can be deduct TDS on Service Tax which is enclusive in Bill. Example
Consultacncy Charges Rs. 10000.00
Service Tax@10.3% Rs. 1030.00

Full Bill Value Rs. 11030.00

sudhakar ca cwa

sudhakar ca cwa (Expert)
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04 October 2010 you need to deduct TDS on Rs.11030/- i.e inclusive of Service Tax

but in case of Rent only on rent amount only you need to deduct TDS

Message likes : 1 times

CMA. CS. Sanjay Gupta

CMA. CS. Sanjay Gupta (Expert)
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04 October 2010 As per Circular No.4/2008 dated 28.4.2008, it was clarified that TDS on rental payments would be required to be made only on the basic rental amount without including service tax. In other words, TDS should not be made on the service tax portion of the rent. However, this analogy is not applicable to TDS under section 194J.

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