TDS on Professional Services

TDS has to be deducted inclusing service tax.

Someone please clarify whether TDS is payable on difference in billing & realisation thereof. There is a circular that TDS is deductable on actual payament being made after adjustment of discounts etc.

Thanks

tds deducted on full bill amount

TDS IS DEDUCTED ON FULL AMOUNT INCLUDING SERVICE TAX IN ALL SECTIONS OF TDS EXCEPT SECTION UNDER 194-I (RENT) WHERE TDS IS DEDUCTED ON AMOUNT EXCLUDING SERVICE TAX.

[CBDT Circular: CIRCULAR NO. 4/2008, (dated 28.04.2008]

TDS. to be deducted on bill value.

TDS has to be deducted on entire value i.e including service tax, however except TDS u/s 194I should be deducted excluding Service Tax