Bills & payments
Running Bill Deductions Calculator — TDS, GST TDS, Labour Cess & Retention
A government running account (RA) bill is never paid in full. The department deducts income-tax TDS under section 194C, GST TDS on the taxable value, building-workers' welfare (labour) cess, security deposit or retention, and recoveries such as mobilisation advance or materials issued.
Enter the gross bill and the rates in your contract to see each deduction, which of them come back to you later (TDS and GST TDS as credits, retention after the defect liability period), and the net amount that will reach your bank.
Bill
Enter the bill value before GST, as certified in the measurement book.
GST rate on the bill
Deductions
Defaults follow common CPWD / state PWD practice — match them to your agreement.
Income tax TDS (section 194C)
Usually 1% (BOCW Cess Act)
Held back from each bill, refunded after the defect liability period
Net amount you'll receive
₹0
How this is worked out
Income tax TDS and GST TDS are worked out on the bill value excluding GST. GST TDS is 1% CGST + 1% SGST within the state, or 2% IGST across states.
Labour cess and security deposit are a percentage of the bill value. Advance recovery, royalty and other deductions are taken as entered.
Frequently asked questions
What is deducted from a contractor's running bill?
Typically income-tax TDS under section 194C, GST TDS (for government and notified buyers), labour welfare cess, security deposit or retention money, and any recoveries such as mobilisation advance, machinery or materials issued by the department. The exact list and rates are in your contract.
Which bill deductions does a contractor get back?
Income-tax TDS is claimed against your income-tax liability, GST TDS is credited to your electronic cash ledger on the GST portal, and security deposit / retention is released after the defect liability period. Labour cess and recoveries are not refunded.
Is TDS deducted on the amount including GST?
Income-tax TDS is generally deducted on the amount excluding GST when GST is shown separately on the invoice. GST TDS is calculated on the taxable value. The calculator lets you enter whether your bill amount includes GST.
Figures are for planning. The conditions in your tender document or contract always take precedence.
Let the calculators fill themselves in
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