07 April 2012
Sir/Madam, I want to clarify for levy of ser. Tax under subject matter in following situation, 1)as per clause zzzzv ser.tax is applicable where declared tariff of Rs. 1,000 per day or above, My query is if tariff rate is Rs. 900+luxury tax(L.T. 4%)if extra bad or extra hours stay then bills become 1300, then my client chrgs 1300+10% L.T., what about ser. tax whether ser. tax liab. arose due to bill increase Rs.1000 (this increased due to extra bad i.e. if stay is only one day or due to extended stay there chargs. are for more then one day)
Similarly query is if tariff rate is Rs. 1200+luxury tax(L.T.10%) and disc. @ 20% or so allowed and due to that bill become less than 1000 per day, then my client chrgs 1200+10% L.T and diff trf. to discount what about ser. tax lib.??
If possible also inform whether Luxury tax treatment is correct???