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Sevice Tax and TDS

Queries 1100 views 9 replies

Hi friend,.......

I have stuck up in a problem could u pls help me....?

A corporate agent of insurance compnay got commission of Rs 50000/-, Co.calculated service tax @ 10.3% and deducted also TDS on the acumulated amount i.e., commisiion+S.Tax, Whether the co. is correct or it should deduct tax at source only on Rs 5000/-, otherwise there is doube taxation......pls help me....

Replies (9)

Raju. There is no problem. you can deduct TDS including service tax, as there is no double taxation. If TDS is deducted including ST, then the recipient has to pay less tax during the year end as TDS portion also includes tax deducted on ST. If tax is deducted only on commission, then he may have to pay a bit more during year end as Tax is deducted only on gross amount. Because of this there is no significant difference.

Hey.. As per CBDT notification TDS should not be deducted on Service Tax Part...

TDS should be deducted including service tax amount

 

 

CBDT had exempted only for making payment of rent only on which  while deducting TDS service tax amount to be excluded

agree with Ashish sir

tds should be deducted on service tax amount also.

notification says that tds need not be deducted on service tax paid on rent and not others.

thanx ashish n trinath....

agree with Ashish


 

yes.....i agree with ashish  sir.....

https://www.taxguru.in/income-tax/a-view-on-deductibility-of-tds-on-service-tax-and-other-expenses-included-in-bill-amount.html

Tds is not deductable on  service tax  in the following  service  u/s 194C/194I/194J.please go on above link.


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