For an net amount of Rs.750 after imposing the service tax of 14.9% and VAT of 5.5% how much would be the net amount.How much service tax can generally be imposed in restaurants.Kindly clarify me the same.
vaishnavi (Others) (24 Points)
25 July 2015For an net amount of Rs.750 after imposing the service tax of 14.9% and VAT of 5.5% how much would be the net amount.How much service tax can generally be imposed in restaurants.Kindly clarify me the same.
Dhirender Gupta
(Partner)
(42 Points)
Replied 27 July 2015
As per rule 2c of STVR 2006 ,value of service will be 40% of Gross amt charged from customers and service tax shall be 14%(wef 1.07.2015)
as per Exemption notification 25/2012 service of restaurent will be exempt if it does not have air conditioned facility
Rakshit
(practising)
(338 Points)
Replied 27 July 2015
Net amount of Rs.750/- plus 14% on 40% i.e Rs. 750+42=792 + VAT @ 5% i.e.43.60 Gross amount wuld be 835.60
Raksh*t
Advocate
Service Tax
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