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TDS Provisions under GST vs TDS under Income Tax



GST Law and Income Tax law in India are two different law and as accountant, you know both. Income tax law comes in India 1961 and GST 2015. TDS under income tax is so sold concept and TDS under GST law is latest. Ok come and learn difference of both as per my study.

1. Meaning 


TDS Under Income Tax Provision


TDS under income Tax means Tax deducted at Source. When payment of earning is paid to other, it is the duty of payment giver to deduct advance tax in the form of  TDS under income tax law and deposit in Govt. Account.



TDS Under GST Provisions

TDS under GST  means Tax deducted at Source. It is also advance GST in the form of TDS. When payment is done by buyer to Supplier and  Following are the authority of getting TDS under GST


( Updated applicable from 1st oct. 2018 )

  • Department of Central or State Government.
  • An establishment of the central or state Government.
  • Governmental agencies.
  • Local authority.
  • Such category of persons as may be notified by Central or State Governments on the recommendation of GST Council.


2. RATE of TDS

TDS Under Income Tax Provision


More rates, you can know at Income Tax Website


TDS Under GST Provisions


Rate of TDS under GST is 2%

For example A is supplier of a product to B of Rs. 10,000

B  receives and B will pay to A

Rs. 10000 + GST ( 18%) Rs. 1800  to A

B will also pay TDS under GST to Govt. 2% on Rs. 10,000 = Rs. 200 ( BECAUSE TDS is the deduction when B is paying to A and deposit to Govt. Account )



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Accounting Education: TDS Provisions under GST vs TDS under Income Tax
TDS Provisions under GST vs TDS under Income Tax
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Accounting Education
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