Should tax be collected when st reg taken

This query is : Resolved

YELLANKI RATHNAGIRI (Querist)
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08 October 2015 Dear all

My client newly started service and he expected turnover will be 12,00,000 P.A so he has taken service tax registration

Now has he to collect service tax on bill value from the first bill onward? or can he wait? for up to 9,00,000

Because his turnover may not be crossed 10,00,000 in that financial year

Please clarify

CA R SEETHARAMAN

CA R SEETHARAMAN (Expert)
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08 October 2015 Wait for crossing 10 lacs and charge service tax for service value exceeding 10 lacs. If it crossed during the year charge service tax next year from first bill.

YELLANKI RATHNAGIRI

YELLANKI RATHNAGIRI (Querist)
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08 October 2015 sir if 10,00,000 crossed in feb month then i no need to collect tax on march bills?

and i have to start from 1st April

is it correct?

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CA R SEETHARAMAN

CA R SEETHARAMAN (Expert)
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09 October 2015 No, you need to collect service tax on March bills and also from 1st April.