Applicability of Tds

[CA.ANCHAL RASTOGI]

A of U P give a contract to B of Haryana to supply & commission a Plant at U P. Whether A is liable to deduct TDS under prov. of U P VAT Act.

AI Summary

TDS Deduction Unlikely for Interstate Plant Commissioning under UP VAT Act; Expert Consultation Advised for Clarity. A user inquired whether a company in Uttar Pradesh (A) is required to deduct TDS under the UP VAT Act when contracting with a company in Haryana (B) to supply and commission a plant in Uttar Pradesh. The response suggested consulting a VAT expert but indicated that the transaction seems to be interstate, implying that the selling dealer (B) is not liable to pay UP VAT in Uttar Pradesh. Therefore, it appears that TDS may not need to be deducted, but further specific advice is recommended.