20 July 2016
I am hired as an consultant by a corporate for a fixed monthly sum of Rs.95000/- to be re-imburssed to me against an indepandent invoice in month end.I am at their service from 27th JUne,2016 and thus I am likely to Invoice the principal for Rs.8,67,667/- in total from 27th JUne,2016 till 31st March,2017. My income from other sources for FY 2016-17 shall include interest, dividends etc in the range of Rs.1.00 lac. Also my total income for FY 2015-16 is in the range of 4.00 lac
I seek advice opinion on applicability of service tax in my consultancy job, if yes the its rate, procedure of registration and maintenance of the same.
20 July 2016
For Service Tax purpose only turnover / gross receipt of Rs 9 Lakhs (for registration) & Rs 10 Lakhs (for payment) is relevant. As you are likely to remain within Rs 9 Lakhs during FY 16-17, there is no need for getting registration. So far as FY 17-18 is concerned, you may take appropriate decision at that time after considering the situation. GST also is likely to be applicable from 01-04-2017. Regarding "category" under which registration is sought, will depend on nature of your area of consultancy.
20 July 2016
Dear Experts I humbly request for a second opinion on the issue please as I need to submit it before my principla who is UK based to convince them in totality. I am gratefull to Shri CA Ajay Kumar Agarwal who has opined very quickly and wisely. My Regards and thanks to him.
CAclubindia
