GST TDS return (GSTR-7) related

[milan bamal]

1. I provide exempted services to a government department (Municipal Corporation)

2. Sanitation Services

3. But, by mistake government department deduct TDS under GST, Which should not have been deducted because it is an exempted service supply

4. As far as I know, TDS in GST is deducted on taxable supply

5. They have not corrected it yet in the GST TDS return (GSTR-7)

6. So, what is the solution for that

AI Summary

GST TDS applicability: TDS was wrongly deducted on an exempt supply and the payer has not corrected the TDS return. A government department deducted GST TDS on sanitation services claimed by the supplier to be exempt supplies; the deduction appears inconsistent with TDS applicability to taxable supplies and the payer has not yet amended the GST TDS return to remove or correct the deduction, leaving a misclassification of the supply and an outstanding need for the deductor to rectify the return.