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Gst on retention value

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This query is : Resolved

kathir (Querist)

21 May 2018 Dear expert, My vendor XX ltd provide the erection service of rs 1000000. As per the agreement term we are hold 10% of value as retention. some vendor charged GST on Rs 10 lakhs and someone charged GST on 9 :Lakhs only. My doubts is :
1. GST is applicable on retention value or not ?
2. The vendor Ltd charged GST either Rs 180000 ( 18% of 1000000 ) or Rs 162000 ( 18% 900000 ) which is right ?.
3. How much we should paid to the vendor either Rs 1080000 ( 900000 + GST 180000 ) or Rs 1062000 ( 900000 + GST 162000 ) ?.
4. TDS to be deducted under Sec 194C or 194J and what is the taxable value for TDS deduction either 10 lakhs or 9 Lakhs.
5.

CA R SEETHARAMAN

CA R SEETHARAMAN (Expert)

21 May 2018 1 GST applicable on retention value.
2 The vendor Ltd charged GST Rs 180000 ( 18% of 1000000 ) is right.
3 Pay Rs 1080000 ( 900000 + GST 180000 ).
4 TDS to be deducted on 10 lacs..

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