Tds on service tax
This query is : Resolved
02 May 2012
Is any bill raised u/s 194B, 194H, 194G TDS will deduct on bill amount inclusive of Service Tax?
02 May 2012
Yes inclusive of service tax. This is as a corollary to CBDT Circular 4/2008 dated 28/04/2008.
02 May 2012
As per Circular No.4/2008 dated 28.4.2008, it was clarified that TDS on rental payments would be required to be made only on the basic rental amount without including service tax. In other words, TDS should not be made on the service tax portion of the rent. However, this analogy is not applicable to TDS under other sections.
In short--
For 194I - Deduct TDS on amount excluding service tax.
For other section - Deduct TDS on amount including service tax.
In short--
For 194I - Deduct TDS on amount excluding service tax.
For other section - Deduct TDS on amount including service tax.
02 May 2012
Concentrate on the WORDS used in the section. 194D, 194G, 194H and 194I use the words INCOME and hence TDS be deducted on NET amount (Exclusive of service tax) But 194C and 194J use the words SUM and hence deduct TDS on gross (Inclusive of service tax)
Message likes :
2 times
02 May 2012
Agree with all above...
tds deducted including service tax.except tds on rent ie 194 i.
tds deducted including service tax.except tds on rent ie 194 i.
18 December 2012
Agree with Amol Joglekar ji....circular was for rental income and we should see any sum payable words and any income used in TDS sections..
18 December 2012
CIRCULAR NO. 4/2008, DATED 28-4-2008:
Representations/letters have been received in the Board seeking clarification as to whether TDS provisions under section 194-I of the Income-tax Act will be applicable on the gross rental amount payable (inclusive of service tax) or net rental amount payable (exclusive of service tax).so its clarification regarding 194-I,
, tax is deductible at source on income by way rent paid to any resident, so as in all other sections except 194C, and 194J income word is there
Representations/letters have been received in the Board seeking clarification as to whether TDS provisions under section 194-I of the Income-tax Act will be applicable on the gross rental amount payable (inclusive of service tax) or net rental amount payable (exclusive of service tax).so its clarification regarding 194-I,
, tax is deductible at source on income by way rent paid to any resident, so as in all other sections except 194C, and 194J income word is there
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now
Click here to login now
Similar Resolved Queries
Unanswered Queries
- Tax Audit Applicability – Newly Formed Partnership Firm with Profit Below 6%/8%
- Difference between Date of Payment and Date of Deduction?
- TDS CREDIT MISMATCHING
- Buy back of shares u/s69
- GST Rate for Catering Services
- Bank details not Visible on Traces Portal
- Taxability of Partnership firm for FY 2025-26
- Cash balance limit and property purchases limit
- Can we choose not to report losses in ITR3 if they cannot be carried forward?
- Same demand raised for original as well as rectification request return
- CALCULATION OF DEFFERED TAX - OP BL IS DTL & CURRET IT DTA
- LLP audit under companies act
- Experienced CA recommendation from Kolkata for FNO return filing
- Interest Reporting in Form 168
- Sales of goods of amount Rs77 lakhs to a party
- Tax Demand of ₹4,650 for AY 2026-27
- Concept of Vendor and customner reconciliation
- Mistake in e-invoice identified after 24 hours
- EXPORT PAYMENT
- NRI ITR2 account in 2025-26.
Trending Online Classes
-
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English
CA Bhanwar Borana & CA Shubham Keswani
Subscribe to Pro
Join an elite circle of professionals
CAclubindia
