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ST & TDS on construction contracts

Others 2179 views 1 replies

Hi friends,

I have a doubt on construction contracts. When a contractor receives a payment for the work, both ST & TDS is deducted. Can u plz tell what is amount on which both of these are deducted. I think first ST is calculated on the total bill amount and then TDS is deducted on the remaining amount. Can u plz confirm preferably wid the help of an example.


Thanks in advance
Swati

Replies (1)
First Service Tax (ST) is calculated on the total bill amount and then TDS is deducted on the amount inclusive of ST.


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