Threshold Limit

This query is : Resolved 

18 August 2008 For calculating limit of 20,000/- for applicability of TDS, bill amount inclusive of service tax is to be considered ?

Service Tax Should Not be taken Since that is not the income of the person if that is included tds will have to be deducted on total amount which will lead non-followance of chapter XVII-B

19 August 2008 Service tax should be cosidered. The question of interpretation to income is only for 194I.

19 August 2008 Service Tax Should Not be taken Since that is not the income of the person if that is included tds will have to be deducted on total amount which will lead non-followance of chapter XVII-B

Experts Are Not themselves Not clear in their answers.


02 April 2012 Section 194 I uses the word income. So if TDS is to be deducted on rent, then service tax shall not be considered.

Howeevr, the other sections use the word AMOUNT, not income. Accordingly, if TDS is to be deducted u/s 194J or 194C, then service tax shall be considered.



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