my query is in respect of TDS U/s 194J for Professional fees paid .... as per recent circular No.1/2014 TDS is to be deducted after excluding Service Tax element provided the same should be mentioned in the Invoice
but in my query the amount Rs.32584/- with service tax but if i Exclude service tax than the amount is Rs.29000/- should i be liable to deduct TDS as section 194J is providing Limit of Rs.30000/-..
30 April 2014
as per circular 1/2014 service tax not include in tds deductible amount. tds will be deductible Rs. 29000/- but if limit is not over rs. 30000/- then no need to deduct TDS.
06 May 2014
But sir as per the circular it is mentioned that only service tax is to be excluded while deducting TDS U/s 194J but nothing is mentioned or explained in respect of timing when the liability will arise .. when a person can liable to deduct the TDS ...whether he is liable to deduct TDS when he received Invoice and entry is passed showing Service tax separately and the amount excluding Service tax is below the prescribed limit of Rs.30000/- is he still liable to deduct TDS .....
07 May 2014
No TDS should b deducted since the amount do not cross the limit mentioned under section 194J. And TDS should b deducted on the amount exclusive of ST.
CAclubindia
