Does STPI firms have to deduct TDS

 You must deduct the TDS and TCS definetly.  Becuase Your supplier may not within the limit of STPI.  So you must follow the respective sections i.e. 194A 194C, 194D,194G, 194H, 194I of the incometax act.

TDS has to be deducted by the STPI units also. But they dont charge service tax and dont avail CENVAT credit of Excise Duty and Service Tax.

Hi Gaurav

as per the new  amendment Service Tax is applicable to SEZ & STPI from 3rd March Onward & they have to claim the same within sux months.

In case of TDS - STPI have to deduct TDS.