Confusion about GST applicable on deducted TDS or not?

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This discussion clarifies that Goods and Services Tax (GST) is not applicable on Tax Deducted at Source (TDS). TDS is not considered a supply, and therefore, GST cannot be levied on it. Furthermore, TDS is not deducted on GST itself. The Central Board of Direct Taxes (CBDT) has issued a circular stating that if GST is itemised separately on an invoice, TDS will not be applied to the GST component.

MAYANK GUPTA

MAYANK GUPTA (Querist)
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04 March 2020 If TDS deducted on purchase Recharges by XYZ Ltd. so on that TDS which is deducting by A Company U/s 194H and show it on my 26AS form. Is there Is the GST will be applicable on deducted TDS.

CA Anita Bhadra

CA Anita Bhadra (Expert)
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04 March 2020 No
Neither GST is applicable on TDS ( TDS is not a supply ) nor TDS will be deducted on GST.
CBDT has clarified through Circular No. 23/2017 that if GST on services has been indicated separately in the invoice, then no tax would be deducted on GST component.

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