Tds on single bill of materials and service charge

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This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

29 April 2016 Dear Experts,
Contractor has issued us the invoice
In respect of contract however in single
invoice materials, vat, service charge,
Service tax are separately mention
Please tell me should i deduct TDS on service
charge inclusive materials if not plz provide
Any section, clause not to deduct TDS on materials
In case of single invoice

Amol S Joglekar

Amol S Joglekar (Expert)

29 April 2016 The words to be focused are "payment"......."income/fees"
194C....payment to contractors. So make TDS on gross amount
194J....fees for professional etc.......So make TDS on net amount.

Querist : Anonymous

Querist : Anonymous (Querist)

29 April 2016 Sir... i know TDS should be deduct u/s 194C
On gross amount but the gross amount
Conrain service charge and materials.. so
My query was should i deduct TDS on service
Charge inclusive materials or only on service
Charge if only on service charge.. also provide
The any relevant section clause not to deduct
TDS on materials portion in case of single bill
containing both service charge and materials

Amol S Joglekar

Amol S Joglekar (Expert)

29 April 2016 Deduct on GROSS amount of bill given by the contractor. Dont go into the details of the bill whether or not it contains material and/or service charge.

Querist : Anonymous

Querist : Anonymous (Querist)

29 April 2016 But sir as per the rule TDS should
Be deduct on service portion also there
Is clause which suggest that TDS should
Be deduct on service portion even in case
of single invoice of service and materials...
But unfortunately i forget that clause,

Amol S Joglekar

Amol S Joglekar (Expert)

29 April 2016 I think you are mixing VAT TDS with income tax TDS. Is it?

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