23 July 2013
what entry will be done in case of service tax reverse mechanism (staffing service provider). where service provider pay 75% S.Tax & service receiver pay 25% S.Tax
24 July 2013
1) Dr.Expense A/c Dr.Service tax input A/C(75%) Cr.TDS payable A/C Cr.To party A/C [total bill-tds]
(being staffing expences for monthxxx)
As and when you have paid to party ..you are under liability to discharge service tax under reverse charge ...for rest of 25% with in 5th of next month in which you paid to party.
2) Dr.service tax input A/c[25%] To bank A/c (being reversecharge liability discharged)
Please note if it is manpower supply service provider is liable for 25% only and service receiver liability is 75%--you might have confused
CAclubindia
