Vat / tds on job work

Dear All

We are a packaging unit in Himachal Pradesh, We buy paper reels, cut into sheets and send them to 'Printers' for 'Printing Job Work'. 

The 'Printers' issue us single Invoce for cost of printing (material + labour) + no service tax + HP VAT 4%

The insist on not deducting and TDS

1. Is such an invoice correct?

2. Can we get input tax benefit of VAT charged by printers?

3. Treatment of TDS?

Thanks in advance....