Reverse charge of service tax

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

27 May 2013 After applicability of reverse charge of service tax on advocate services. TDS on such services will be deducted exclusive of service tax. is that true?

CMA Ramesh Krishnan

CMA Ramesh Krishnan (Expert)
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27 May 2013 TDS is applicable on gross invoice value, under service tax reverse charge method invoice doesnot contain any service tax element and it is receiver responsibility to pay to govt directly. so it service tax element not paid to service provider also.

TDS need to deduct only invoice value(which is exclusive of service tax) under payment of reverse charge method bills