Tamil Nadu Govt directs every person awarding work contracts to deduct and remit tax @ 2% in case of civil works or civil maintenance works, & @ 5% on all works other than civil (value above Rs 1 lakh), in terms of Sec 13 of Tamil Nadu VAT Act; Persons / organizations who fail to do so shall additionally pay interest @ 2% per month on such TDS payable for entire default period

Press Release No. 453 dated September 2, 2014
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