Project - AS 2 or AS 7?

Here the service is come under contract, so as 7 will be applicable.

Hai..

I dont think supply of material to main contractor is any kind of service as meant in the AS 7. It is to be treated as inventory and AS 2 will be applicable.

AS 7 will be applicable not the AS -2 

and above all the Main contractor has to entrust the Work with Work order not any P.O(Purchase Order) so the TDS as contracts of sub-contractor's applicable and Service tax should be levied by the service render for work order