TDS

Hi Friend,

How come Service Tax & Vat can be levied simultaneously. It is either VAT or Service Tax in one particular bill depending on nature of sales. I mean Vat for Goods Selling & Service Tax for Service selling. As in your query, there is a selling of Capital Goods like Software for which depreciation is charged @ 60% & 40% in Income Tax & Companies Act respectively.Therefore there will be no TDS on Sundry Debtor's part but if it is a selling of Service for example Customised Software preparing under contract or installing Software or imparting trainning on Software then there will be TDS @ appropriate rate under 94J or 94C that too if single or aggregate payment crosses the limit under above sections. I hope I could be able to answer your query properly.

D Sen

if the company is in the work of developing the software as in that case only service tax is applicable .but in ur case tds is not deducted.