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TDS Query

Sushitha Y. Lakade (Chartered Accountant) (29 Points)

01 November 2007

Is TDS deductible on Service Tax charged in the Bill ?

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21 Replies

saran kumar (student) (145 Points)
Replied 01 November 2007

TDS is always deducted on gross amount of invoice..... that means invoice includes service tax & cess also..... As per icome tax TDS is deducted on amount credit/paid that means that amt included service tax also.... Regards, Saran Kumar

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hemant (Manager) (33 Points)
Replied 01 November 2007

why tds is deductible on gross amount of invoice(which includes service tax). While in actual service tax is not the income of service provider

nageswararao (Mgr - Commercial) (142 Points)
Replied 02 November 2007

TDS always done on the amount Paid or Credited what it may be which ever is earlier, so TDS deducted on Service tax portion also, because we are crediting the same to charger or paid to the same to him. Ph: 099891 57666, Email: nageswararao.bommakanti @ ril.com Land: 0884 2388343

Vk Duggal (320 Points)
Replied 02 November 2007

TDS is to be deducted on gross amount of bill which will incude service tax also. No exemption in this regard has been given

(Guest)

As Mr. Hemant rightly said that Service Tax is not the income of the payee. However, some sections like $194J uses wordings " Any SUM credited to the a/c of the payee" while other sections like $194H and $194I uses wordings " at the time of credit of such INCOME " to the a/c of the payee for deduction of tax. So, can we interpret that wherever the words " INCOME " is used , there TDS is not deductible on Service Tax ?

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(Guest)

IF WE MAKE A SALES BILL WITH SALES TAX,CAN ANY PARTY DEDUCT OUR TDS IF YES THAN HOW

Ankit Dangayach (Chartered Accountant) (691 Points)
Replied 03 November 2007

Agree on Views of Mr V.K Duggal

Kapil Goel (ACA Chartered Accountant) (32 Points)
Replied 03 November 2007

Dear All, We may further refer to latest clarification from CBDT as available on website of BCAS in which it has been categorically stated TDS shall be on gross amount inclusive of service tax. Regards Kapil Goel

(Guest)

TDS is deducted on the gross amount i.e.including service tax bcoz service tax is also charged on services.that's why when we give servicen to any other it attracts tax .

(Guest)

wat is the procedure to file Annual TDS return? what is the last date to filing this?

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(Guest)

Plz give me score yaar. u know i m ur guest

Sushitha Y. Lakade (Chartered Accountant) (29 Points)
Replied 05 November 2007

On which website or from which source can I get the information as to the CBDT clarifiaction that TDS is deductible on gross amount inclusive of Service Tax? Pls help Mr. Kapil Goel

Kapil Goel (ACA Chartered Accountant) (32 Points)
Replied 05 November 2007

Dear Sush*tha as stated above, BCAS website : www.bcasonline.org Regards Kapil Goel taxationlaws @ rediffmail.com

Narayan Roy (Tax Consultant) (35 Points)
Replied 05 November 2007

my client is a state govt. office, which has made TDS from the bills of contractors but couldnt get PAN of all the deductees since all the payments were made before 10/09/2007 and the Incme Tax Dept. had issued notification requiring 70% correct PAN on e-tds filed on or after 01/10/2007. Now its not possible for my client to get PAN of those deductees since the payment is made for the financia year 1997-98 and most of the payments are of small amount around Rs.10000/- and impossible to trace all the deductees.How can i file e-tds return for Q2 ?? plz. help.