Hello!
I want to ask whether TDS to be deducted on Gross amount inclusive of VAT? If yes, then please specify the circular or section clarifying the same.
Thanks in advance!
S.P.Mahanta
(Internal Auditor)
(647 Points)
Replied 24 December 2007
Ca Ramakrishna Sangu
(employment)
(39 Points)
Replied 10 January 2008
Amit
(Service)
(30 Points)
Replied 17 January 2009
Whether Excise duty to be included while caculating the the TDS (Under IT)
Shudhanshu Agrawal
(Business)
(2570 Points)
Replied 18 January 2009
Leaving the TDS on rent(Section 194I)....under all other sections TDS is deducted on bill amount and if any other tax has been deducted on the bill....then TDS will be deducted including that tax as well.
According to a circular in case of TDS on rent (194I) TDS will be deducted exclusive of service tax
Varun Kalra
(Employee)
(65 Points)
Replied 03 February 2011
The point to be noted is the contractor is paying Rs.2/- as TDS on the VAT amount of Rs.100/- which is not his income.Though he will get it back as refund but in case of bills of big amount his money will be block for more than a year.
ROHIT BANSAL
(Student CA Final )
(21 Points)
Replied 03 March 2015
Hello!
Yes, TDS is to be deducted on gross amount inclusive of VAT.
No such circular is available but it can easily be interpreted from the language of the Act.