No TDS on GST component of service remuneration clarifies CBDT
Manoj Gupta
Author
File details
File description
Today, the Central Board of Direct Taxes (CBDT) has issued a Circular No.23/2017 clarifying that wherever in terms of the agreement or contract between the payer and the payee, the component of 'Goods and Services Tax (GST) on services' comprised in the amount payable to a resident is indicated separately, tax shall be deducted at source under Chapter XVII-B of the Income-tax Act, 1961 (the Act) on the amount paid or payable without including such 'GST on services' component. GST for these purposes shall include Integrated GST, Central GST, State GST and Union Territory GST.
For the purposes of this Circular, any reference to 'service tax ' in an existing agreement or contract which was entered prior to 1 July 2017 shall be treated as 'GST on services' with respect to the period from 1 July 2017 onward till the expiry of such agreement or contract.
The CBDT Circular is attached here for your reference. Please communicate appropriately to your relevant client group. #pdf
Comments
Recent Files in Income Tax
View more →
PDF
FAQs on Agricultural Income (Section 2(5) and Rule 270) as per IT Act 2025
17 September 2026
Download
Trending Online Classes
-
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English
CA Bhanwar Borana & CA Shubham Keswani
Subscribe to Pro
Join an elite circle of professionals
Popular Files
- ICAI Suggestions on GST Registration & Refund Processes
- ICAI E-Way Bill Handbook - Aug 2026 Edition
- Processing Status of Citizen’s Charter Applications as of Sept 30, 2026
- RBI Bulletin - September 2026
- RBI | Report of the Advisory Committee on Ways and Means Advances to State Govts
- Monthly Economic Review - Sept 2026
- ICSI | Exposure Draft of Proposed Syllabus 2027
- ICAI Students' Journal: October 2026 Edition
CAclubindia
