194ia

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CA MAYANK SHARMA (Querist)
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02 July 2015 Dear Sir, As per sec 194IA if the total consideration for any immovable property exceeds 50lakhs then TDS @ 1% needs to be deducted. My query is if say total consideration is 65 lakhs including service tax and service tax is of 5 lakhs then TDS u/s 194IA needs to be deducted on 65 or 60 lakhs???

CA R SEETHARAMAN

CA R SEETHARAMAN (Expert)
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02 July 2015 TDS needs to be deducted on total consideration including service tax i.e. on 65 lacs.

CA MAYANK SHARMA

CA MAYANK SHARMA (Querist)
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02 July 2015 But sir as per notification from the department service tax has to be excluded while calculating TDS ?

CA Aman Gupta

CA Aman Gupta (Expert)
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02 July 2015 CBDT has clarified vide Circular no. 1/2014 clarified that no tax shall be deductible on service tax component comprised in the sums payable to resident, if service tax is indicated separately.

CA MAYANK SHARMA

CA MAYANK SHARMA (Querist)
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02 July 2015 Dear Seetharaman sir, do you want to say anything?

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