Please help - query

Deduction U/S 80 C and D applicable to Individual & HUF irrespective of residencial status

Sir,

I have one bill for software development charges inclusive of Vat 5%.Please let me know should i deduct the tds on this bill. if yes, then what rate & on what amount i.e. gross amount or only billing amount i.e. exclusive of vat. Please sort out this query asap.

Thanks & Regards,

Amarchand Thakur