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Should consultant invoice include tds

TDS / TCS 2365 views 3 replies

When a consultant, on who's fees TDS is being deducted by the Client company, sends an Invoice should it specify the total amount or only the amount minus the TDS.

For example: If the consultant fees is Rs50,000 should he send an invoice for Rs50,000 or for Rs45,000 (i.e.reducing the 10% TDS amount)

It would be helpful if anyone can give a template of an invoice which can illustrate the above issue.

Replies (3)

Mr Ram,

your bill is not necessarily mentioned TDS. Deduction of TDS is deductors work 

Mr Ram,

It should not mention TDS or amount net of TDS.your bill should be of gross amount charged which may include service tax components which should be bifurcated in bill.quoting of TDS to be deduction & net amount with gross amount is generally used when we give quotation to client & not at the time of issue of bill

 

Mr.Ram

Exp:

Consultant Fees            500000

Service Tax 10.30%          51500

                                         -----------

Total Bill                        551500

                                      ------------

TDS Deducter deduct Tds on 10%

TDS Amount = 10% of Rs. 551500= Rs.55150


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