Hi,
I am purchasing a Software Subscripttion which costs Rs. 2.52L annually and the service provider has informed me that there will be 12.5% Service Tax and 10% TDS. So the calculation according to me goes like this.
Cost - Rs. 2,52,000
Service Tax - Rs. 31500
Total - Rs. 2,83,500
TDS - (Rs. 2,83,500 * 10%) = Rs. 28,350.
So if I'm not wrong, TDS should not be charged to me, as its within the limits of Rs. 30,000.
Need help in this regard. Thanks.
CAclubindia
