A Company issue Tax invoice on AMC Charges for Printers, computers etc., including Service Tax @ 12.36 on 80% of Invoice Amount. my question is, whether we deduct TDS on 80% of Invoice Amount or Full Amount. Please Suggest the answer urgently..
Vijaya Kumar K S (Accounts Superiendendent) (44 Points)
20 February 2014A Company issue Tax invoice on AMC Charges for Printers, computers etc., including Service Tax @ 12.36 on 80% of Invoice Amount. my question is, whether we deduct TDS on 80% of Invoice Amount or Full Amount. Please Suggest the answer urgently..
Pradeep Gupta
(Accounts Manager)
(298 Points)
Replied 24 February 2014
You need to deduct u/s 194 C @ 2% on the amount:
Gross Invoice Value XXXX
Less: Service Tax XXXX
Less: Goods Value XXXX
Balance: XXXX (Will be taxable Value)
Since as per circular number 01/2014 which came with effect from 13/01/2014 says that TDS not be deducted on Service Tax Component.
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