kathiravan (erode) (99 Points)
29 July 2013Hi Friends,
I need Clarification Regards TDS on Job Work, When TNVAT is applicable?
Case :
ABC Company - “ Export Of Kitchen Towels “
ABC Company purchase “Yarn” and give the to Job work Contract “Mr.xxx”
After Completion of Work, “Job work Contractor “mr,xxx” raise Single bill RS 1,00,000/- + TNVAT Amount Rs 2,500/-( 5%on Rs.50,000/-(50 % of Rs 1,00,000))
Company Treated Claim VATINPUT Rs.2,500/-
Now What amount TDS is applicable – Rs.50,000/- or Rs 1,02,500/-
Please Guide Me
Gowtham
(Student CA IPC / IPCC)
(119 Points)
Replied 29 July 2013
TDS should be on bill amount only ( Input Adjustment are not applicable for TDS case ) So for u 102500 to deduct tds
CA Suri Kota
(Assistant Manager @ EY)
(955 Points)
Replied 29 July 2013
agree with Gowtham.
Always TDS is on gross amount except in case of rent.
kathiravan
(erode)
(99 Points)
Replied 29 July 2013
Sir.., In that Export Company receive Bill like
Value Rs 1,00,000/-
______________
VAT 5 % 2,500/- (50,000/-)
__________
Total PAyable Rs 1,02,500 /-
____________
AS per 194C Say - TDS should Paid on only Expenses , not on Purchase
In this Case that (50 % on 1,00,000/- is MAterial )
CA Suri Kota
(Assistant Manager @ EY)
(955 Points)
Replied 29 July 2013
helllo...........it never said just exp.....provision says gross amount ..................
CAclubindia
