TDS Erection and commissioning invoice with out service tax

[v.sridhar sridhar]

Sir, Thanks for your reply, Now query is that, whether Bangalore party will deduct the TDS for Erection and commissioning invoice with out service Tax . Please advice.

Regards

V.Sridhar

AI Summary

Clarification on TDS Deduction for Erection and Commissioning Invoices: Exclude Service Tax, Follow CBDT Circular Guidance. A participant in a discussion forum inquired whether a party in Bangalore should deduct TDS on an erection and commissioning invoice without service tax. One respondent clarified that service tax (ST) is not applicable, and TDS should be deducted on the invoice amount before service tax. Another participant referenced a CBDT circular, confirming that TDS is deducted from the gross amount before payment to the vendor. The discussion highlighted the relevance of understanding the relationship between TDS and service tax under the Income Tax Act and the guidance provided by CBDT and CBEC circulars.