I Have received a bill of Rs. 40000/- (against labour chrgs) & i have raised a Debit Note of Rs. 5000/- against same bill.
On which amount i should deduct TDS, on Gross i.e. Rs. 40000/- or on Net i.e. Rs. 35000/-
Menu
Tds deduction
Replies (2)
Dear Tushar,
You have not mentioned nature of debit note raised. If it has the effect of reducing your liability on account of labour charges payable to contractor then TDS shuld be deducted on Net amount.
However if debit note is for recovery of some previous dues or some other charges or any other thing which is in the nature of account adjustment, then TDS will be applicable on Gross Amount
| Originally posted by : SAURABH NENE | ||
 |
Dear Tushar, You have not mentioned nature of debit note raised. If it has the effect of reducing your liability on account of labour charges payable to contractor then TDS shuld be deducted on Net amount. However if debit note is for recovery of some previous dues or some other charges or any other thing which is in the nature of account adjustment, then TDS will be applicable on Gross Amount |
 |
Thanks Saurabh,
Yes saurabh its to reduce liability on account of Labour charges payable.
Recent Threads
- Taxation for sale and purchase of REIT shares
- PAN - AADHAR LINK
- RECONCILIATION OF GSTR 2B Vs BOOKS WITH VBA
- Regarding cancellation of GST Number
- GST on business receipts pre -registration
- A Restaurant registered under the Composition Sche
- GST RATE OF OUT DOOR CATERING
- Non resident taxation & income tax in India
- GST Rate for oral Hygiene Combo Pack
- GST registration - Address error
Related Threads
CAclubindia
