State Government of Rajasthan issues Guidelines for Deductions and Deposits of TDS by the DDO/ Divisions

Sep 27, 2018 | by Avantis RegTech Legal Research Team


The Government of Rajasthan on September 25, 2018 has issued Guidelines for Deductions and Deposits of Tax Deducted at Source (TDS) by the Drawing and Disbursing Office (DDO)/ Divisions.

The Government of Rajasthan had notified that the provisions of Section 51, which gives provisions for tax deduction at source, shall come into force with effect from October 1, 2018 vide Notification No. F.12(46)FD/Tax/2017-Pt.-V-113 dated September 13, 2018.

The Guidelines for Deductions and Deposits of TDS by the DDO/ Divisions are as under:

·         According to Section 51 of Rajasthan Goods and Services Act, 2017 and Central Goods and Services Act, 2017, for intra-state supply transactions, the deductor shall deduct tax at the rate of 1% from the payment made or credited to the supplier under each Act. Thus, total TDS shall be 2% of the payment made or credited to the supplier i.e. 1% for RGST and 1% for CGST.

·         According to Section 20 of Integrated Goods and service Tax Act, 2017, which explainsapplication of provisions of CGST Act, for inter-state supply transactions, the dedctor shall deduct tax at the rate of 2% from the payment made or credited to the supplier.

·         For payment process of Tax Deduction at Source under GST two options can be followed, which are as under:

(i)                  Option I: Generation of challan (CPIN) for every payment made during the month, or

(ii)                Option II: Bunching of TDS deducted from the bills on weekly, monthly or any periodic manner (Generation of CPIN accordingly).

[No-F.12(5)FD/Tax/2017-Pt.-I -120]

URL: http://www.finance.rajasthan.gov.in/PDFDOCS/TAX/GST/F-GST-7782-25092018.pdf


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