On what value TDS needs to be deducted under GST Act 2017

By | September 17, 2018
(Last Updated On: September 17, 2018)

 value on which TDS needs to be deducted under GST Act 2017

On what value TDS needs to be deducted under Section 51 of  GST Act 2017? Whether

(a) Contract value

(b) Contract value excluding tax

(c) Invoice value including tax

(d) Invoice value excluding tax

Answer : TDS will be deducted from the payment made or credited to the supplier  where the total value of supply of  taxable goods or services or both, under a contract, exceeds two lakh and fifty thousand rupees:

Explanation.—For the purpose of deduction of tax specified above, the value of supply shall be taken as the amount excluding the central tax, State tax, Union territory tax, integrated tax and cess indicated in the invoice.

[Refer Section 51 of CGST of  Act 2017 ]

Thus TDS will be deducted on Invoice value excluding tax

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