Payment to Building Contractor

Hi All,

Our company is in the field of Cable Industry. We are setting a new plant at Pune. For that purpose we have given a works contract to one of the renowed CONTRACTOR.

Now he has submitted his first runnin bill to us as follows :

Construction Work Till Date [ R.A.Bill 1 ]   Rs. 1,00,000

Add: Service Tax on 33.33% of above

         @ 12.36%                                             Rs.    4,120

Add : WCT VAT @ 5% on Rs. 1.00 Lacs  Rs.    5,000

Grand Total                                                   Rs.  1,09,120

As per my knowledge before making paymeny , I have to consider 02 deduction

First one : Normal IT TDS @ 2.266% on full Invoice amount of Rs. 1,09,120=00

But regarding 02 deduction of WCT -TDS , what will be the % and on which amount it should apply ?

Please clarify

Amit