deduction of wct udner tnvat -reg

[Ramakrishnan Seshadri]

Dear Sir

we are constructing one shed at our factory. The construction contractor has submitted the bill. We have deducted the wct amount under tnvat act of 2%.

Now our question is the construction contractor asking us to remit the wct tax amount deducted in their assessment circle along with FormR. But usually we deduct and pay the wct amount to our assessment circle with Form R.

Could the experts please clarify whether the request made by the contractor can be made or the procedure followed by us is correct.

Thanks & Regards,

S.Ramakrishnan

[YAGAY and SUN]

Dear Ramakrishnan,

Please go through the Section 13 of the TNVAT Act, 2006 read with Rules and Proviso made thereunder for better understanding on the subject matter.

Regards,

YAGAY and SUN

(Management, Business & Indirect Tax Consultants)

AI Summary

Withholding tax under TNVAT: consult Section 13 and rules to determine correct remittance and Form R filing procedure.
Issue: purchaser deducted withholding tax at source and customarily deposits the tax and files Form R in its own assessment circle, while the contractor requests remittance in the contractor's assessment circle. The applicable procedural and deposit rules are those in Section 13 of the TNVAT Act and the rules and provisos thereunder; the respondent was advised to consult Section 13 and the rules to determine the correct assessment circle and Form R filing procedure.