24 March 2025
If the entity receiving the drinking water tanker transportation service is a "specified person" under Section 51 of the CGST Act, and the bill amount exceeds ₹2.5 lakh, GST TDS may be applicable. The nature of the contract and the precise classification of the service under GST are crucial in determining TDS applicability. It is very important to consider the exact nature of the contract. If the contract is purely for transportation, then the rules related to transportation services will apply. If the contract is for the supply of water, and the transportation is incidental, then rules related to the supply of water may apply.