TDS Hs to be Deducted in Case of Service of Professional Service Charges is Rs 25000 And Service Tx on above is 12.36% = 3090 Total is Rs 23090.
on What amt TDS Has to be Deducted ?
CA. Manthan Ruparelia (Chartered Accountant) (94 Points)
19 January 2009TDS Hs to be Deducted in Case of Service of Professional Service Charges is Rs 25000 And Service Tx on above is 12.36% = 3090 Total is Rs 23090.
on What amt TDS Has to be Deducted ?
Ram Avtar Singh
(Nagari Sultanpur U.P.Delhi)
(14477 Points)
Replied 19 January 2009
As per the provisions of Sec 194J the TDS has to be deducted on the Gross Payment.
Hence in the above case the TDS has to be deducted on 28090/- and not on 25000/- as mention above.
Thanks
Naveen Chand Khulve
(CA)
(1521 Points)
Replied 19 January 2009
Mr. Ram Avtar Singh is right. TDS will also be computed on Gross Amount Inclusive Of Service Tax except On Rent i.e Service tax will not be considered for TDS calculation purpose in case of rent payment.
Jyoti Malik
(ACCOUNTANT)
(2644 Points)
Replied 21 January 2009
TDS is to be deducted on gross amount except in case of Rent (194I) .
Lalit Kumar Gupta
(Service)
(609 Points)
Replied 21 January 2009
Dear Frnd
u r case is being covered on sec. 194 J of Income Tax Act, 1961 and as per the provision of the same one should deduct tax on ANY SUM PAYABLE BY WAY OF FEES for professional services thus service tax is also liable for TDS i.e. TDS shall be deduct on Rs.28090.
Regds
Lalit
9953307025
CAclubindia
