TDS connfusion

N V S Pawan Kumar (student) (113 Points)

12 December 2007  

Suppose a professional gives a bill of Rs9,00,000/- + Service Tax @ 12.36%.So the total bill amount is 10,26,928/- right?

Now please tell me on which amount should TDS be deducted ? On gross fees of Rs. 9,00,000/- or the total fees inclusive of service tax i.e. Rs.10,26,928/- ???  

Thanks