Applicability of service tax and vat

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This query is : Resolved

sunny tanwar (Querist)

11 February 2014 Sir

I am working in Hospitality sector and Our company is providing Mandap keeper service .

They used to bill the client cumulative amount for renting of banquet hall and supply of food.

So I wants to know how bifurcate that bill amount and take the tax(ST and VAT).

Let say our company charge Rs 100000 from client inclusive of taxes now what will be the income part and tax???????

Please reply asap.

Hurry

Sunny Tanwar

CA Deven

CA Deven (Expert)

11 February 2014 Dear Sunny,

Can you explain me how transfer of goods is taking place in this case ..I mean which goods you are transferring

CA Deven

CA Deven (Expert)

11 February 2014 Services rendered by mandap keepers as caterer would also be liable to service tax - food charges collected from customers includible in value for discharging ST Pre-deposit ordered: CESTAT

sunny tanwar

sunny tanwar (Querist)

11 February 2014 sir

Food items like which normally served at functions are transferring at banquet hall

MJ Krishnamurthy

MJ Krishnamurthy (Expert)

11 February 2014 Mr S Tanwar,
I think in this case you should be able to bifurcate the catering and mandap charges. There are different rates of abatements given in Notification No26/2012.Visit WWW.cbec.nic.in,click service tax,go to notification of 2012 and see details of abatement. Utilise this provision and calculate ST after bifurcation,if necessary.....mjk

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