Tds provision - labour contractor

This query is : Resolved

Jatin (Querist)
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05 October 2017 Dear Sir,

Please note, Office staff provided by labour contractor (Un-registered dealer) to our partnership firm (Registered under GST)

Payment around ₹ 50,000 per month paid to labour contractor.

Please guide me, TDS provisions under GST is applicable or not on such transactions.

Thanks & Regards,

Jatinder Kumar

CA AJAY KUMAR AGRAWAL

CA AJAY KUMAR AGRAWAL (Expert)
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05 October 2017 TDS (under Sec 194C of Income Tax) is different & it is applicable. Since you are registered & service providor is unregistered, you have to pay GST under RCM (Sec 9(4)). You can take ITC of said GST paid under RCM & can set off against your final gst liability.

Jatin

Jatin (Querist)
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06 October 2017 Thank you very much Ajay Ji,

Is separate registration required for TDS under GST.

Regards,
Jatinder Kumar

CA AJAY KUMAR AGRAWAL

CA AJAY KUMAR AGRAWAL (Expert)
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06 October 2017 As informed earlier, on your firm TDS is applicable under Income Tax. No TDS is attracted in GST on your firm. However single registration is sufficient for all purposes.

Jatin

Jatin (Querist)
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06 October 2017 Thank you Ajay Ji,

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