11 October 2019
A Govt Dept has entered a contract with a Film production agency to make a social awareness short film. The producer has charged 18% GST on the production cost. While settling the Invoice the Accounts Dept has deducted 2% TDS on the production cost. My query is whether GST TDS is also to be deducted from the Invoice? If so at what percent? In case, if it is omitted to be deducted, whether it can be deducted in the subsequent invoices to be settled. kindly clarify
11 October 2019
GST TDS is applicable. Govt Dept required to deduct TDS at 2 % where the total value of such supply, exceeds INR 2,50,000 (excluding the amount of GST).
It should be in the same month - The deductor has to deposit the TDS to the government by 10th of succeeding month and file GSTR 7
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