25 January 2013
Dear All, Need your expert opinion on this.
I have got invoice relate to "sponsorship of an event". This service was already under reverse charge mechanism. so, an amount of 150000 is there on the invoice and no service tax component mentioned herewith. Now, the service tax component is 18540 (12.36% of 150000). However, the TDS decuted by the payee is only RS.3000-TDS on amount being sponsored.
Confused on the applicability of service tax and TDS.
CAclubindia
