Commission or Brokrege

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If I pay Commission..... (50000 included GST 18%) so i'll deduct 5% TDS u/s 194H on 50000 value or after deduct GST Amount
Replies (10)

5% Tds  under  194H should  be  on 41000/-  excluding or after deducting  GST  amount  . please confirm with other also . 

The amount you get after deducting GST, deduct TDS from that amount.

eg : 50,000 - 18% GST = 41000

41000 * 5% TDS = 2050 (TDS Amount)

Payable amount will be 50,000 - 2050 amount.

Hope it helps you. 

No,TDS deduct on basic value,

Basic Amount  = 50000*100/118

                        =42373/-

Your Basic  = 42373

GST   18 %   =  7627

   Total Invoice = 50,000/-

So you deduct TDS on 42373*5%   = 2119

Payble Amount = 50000-2119 

                          = 47881/-      

Your calculation is not wrong. 

Check this calculation again:

50000*100/118 =42373/-

 

PFB 

INVOICE PAYABLE A/C - 47,881(50000-2119)

TDS PAYABLE A/C - 2,119(42373*5%)

GST PAYABLE A/C -  7,627(42373*18%)

 

   

 

agree with Aman
Tds to be deducted on taxable value not on invoice value which contains any taxes that to be paid to govt

Tds is applicable on basic amount mean excluding GST amount.

Thus,

If you pay Commission of Rs.50000/- including GST,Current rate of gst on service is 18%,So arive at Basic used formula 50000*100/118=42373 less TDS @ 5% =2119/-.

agree with Aman Kumar

good clarification and information


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