SWACHH BHARAT CESS AMT TDS DEDUCT OR NOT
SWACHH BHARAT CESS AMT TDS DEDUCT OR NOT
shiv singh tomar TOMAR
Clarification: No TDS on Swachh Bharat Cess if billed separately; follows CBDT's service tax guidance. A query was raised regarding whether Tax Deducted at Source (TDS) should be deducted on the Swachh Bharat Cess. Respondents clarified that the Central Board of Direct Taxes (CBDT) has stated TDS should not be deducted on the service tax component, implying the same for Swachh Bharat Cess. If the cess is included in the gross bill amount, TDS applies; if shown separately, it does not. It is advised that the Swachh Bharat Cess be accounted for and charged separately on invoices to avoid TDS deduction. (AI Summary)