Required Guidance & Suggestions

[Mayur Patel]

I am a proprietor of a firm engaged in website and software development.I have following concerns regarding GST and TDS for which i am seeking guidance from fellow expert of the community;

Question: is the following scenario correct ? | Am i eligible deductee for TDS ?

- I have raised invoice to my client for ₹ 1,00,000 where service charge is ₹ 84745.76 and GST(@18%) is ₹ 15254.24.

- Client paid me ₹ 90,000 ; Deducted ₹ 10,000 as TDS @ 10 % rate

It is to be noted that

- The location of supplier and place of supply of service is different from the State where the recipient is registered.(I have read that TDS under GST regime is not applicable for intra state supply of service,is that true ?)

- And,The client is eligible person to deduct TDS as his annual turnover is beyond ₹ 1 Cr. and is auditing his accounts.

I may be sound foolish asking question but i am not aware of taxation web for business.Any help regarding will be appreciated.

AI Summary

Website Owner Seeks Clarity on TDS Applicability for Intra-State Services; Experts Advise on Correct Deduction Practices A proprietor of a website and software development firm sought guidance on GST and TDS, questioning the correctness of a transaction where a client deducted 10% TDS from a 1,00,000 invoice. The client paid 90,000, deducting 10,000 as TDS. The proprietor noted that the supplier's location differed from the client's registered state and asked about TDS applicability for intra-state services. Experts clarified that TDS under GST is not applicable in this scenario and advised that TDS should be deducted on the pre-GST amount. They also encouraged the querist to continue seeking knowledge without hesitation.