Tds on service tax component

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

21 August 2014 in case of 194j tds is required to deduct on amount excluding service tax if separately given in invoice.
My Question
Whether in all other sections (194c, 194i etc) tds is deducted on amount including service tax.

Nikhil Kaushik

Nikhil Kaushik (Expert)
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21 August 2014 tds is not to be deducted on service tax portion irrespective of TDS section involved.

Querist : Anonymous

Querist : Anonymous (Querist)

21 August 2014 SIR
there is a case of contract of security services.(manpower supply)
tds deducted on amount including service tax
whether this is right way to deduct tds

Nikhil Kaushik

Nikhil Kaushik (Expert)
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21 August 2014 you have the option of not deducting TDS on the service tax portion after issuance of CBDT Circular 1/2014. However, even where you deduct TDS on service tax part, it would still be ok from income-tax perspective (as it is doesn't result in short deduction)