Section 10C(2) in Punjab General Sales Tax Act, 1948
(2)Any contractor responsible for making any payment or discharge of any liability to any sub-contractor, in pursuance of a contract with the sub- contractor, for the transfer of property in goods (whether as goods or in some other form) involved in the execution whether wholly of in part, of the work undertaken by the contractor, shall, at the time of such payment or discharge, in cash or by cheque or draft or by any other mode, deduct an amount equal to two per centum of such payment of discharge, purporting to be a part or full amount of the tax payable under this Act on such transfer from the bills or invoices raised by the sub-contractor as payable by the contractor.
