Works contract


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Querist : Anonymous

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Querist : Anonymous (Querist)
08 June 2012 While doing interstate work contract, we are liable to pay CST with the amendment in the CST Act. The client is also liable to deduct taxes from payments and pay to the Government of the state where the work is executed. Is it not a double taxation. Please guide how to go about in this case. Works contract is bein g deducted and not Income tax

CA.Ganesh (Expert)
08 June 2012 this is not double taxation. CST is tax on sale of goods involved in the contract. Tax deducted is incometax which is tax on income

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Querist : Anonymous

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Querist : Anonymous (Querist)
09 June 2012 The client is liable to deduct works contract tax and pay to the Govt. where the work is executed and not income tax


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