Can a Company Pay Me Without a Service Tax Number if TDS is Deducted? Seeking Advice!

radhika malhotra
Dear friends, kindly tell me one thing. A few days back, I had submitted a bill with a company for my placement service to them. I have mentioned my PAN card number in that so that they can deduct TDS on that. I have not applied for a service tax number yet. So, I have not mentioned the service tax number in that. Now, the company is saying that you have to provide us the service tax number. I told them that I have not taken the service tax number yet, and you can deduct TDS from my payment. So, is it possible for the company to make payment to me? Kindly tell me and help me out.
CAMILUS
Dear friends, kindly tell me one thing. A few days back, I had submitted a bill to a company for my placement service. I mentioned my PAN card number so that they can deduct TDS. I have not applied for a service tax number yet, so I did not include it in the bill. Now, the company is asking for the service tax number. I explained that I have not obtained the service tax number yet and they can deduct TDS from my payment. Is it possible for the company to make payment to me? Kindly advise and help me out.

Radhika, please note that TDS is a direct tax related to your income under the Income Tax Act. On the other hand, service tax is an indirect tax collected from those who receive the service. You do not need to worry about your payment, as your TDS will be deducted as usual. Regarding service tax, you need to register and are not required to collect it from your client. You can inform your client that if your turnover does not exceed Rs. 10 lakh for your activity/service, you are fully exempt from registering with the Service Tax Department. If your turnover exceeds Rs. 10 lakhs, then you may proceed with registration.
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