Accounting for service tax

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Querist : Anonymous

Querist : Anonymous (Querist)

06 November 2012 Suppose there is two companies co.A and Co. B. CO. B. is a foreign company and want to promote business in India. CO. A. provide services to CO. B. in India but bill amount is raised in US Dollars. Hence as per defination of export of service, it is not an
export of service. Please let me know, what will be accounting treatment assuming payment is received @ later date.
E.G. (Buying rate 48 RS/ $ ; selling rate : 50 RS/ $.

Pradeep Nainawati

Pradeep Nainawati (Expert)

06 November 2012 WHAT KIND OF SERVICES ARE BEING PROVIDED BY THE COMPANY A

Querist : Anonymous

Querist : Anonymous (Querist)

06 November 2012 Business promotion and engineering services.

Arun Kumar Singh

Arun Kumar Singh (Expert)

06 November 2012 Service tax liability will come if invoice date, service completed date and payment received date which is earlier. That will be the date of liability.

Querist : Anonymous

Querist : Anonymous (Querist)

06 November 2012 exactly sir. i.e. as per invoice date i booked service tax payable @ 48 rs/$ but what will be effect when payment is received @ 50 rs/ $..???

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