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Respected Sir / Mam
A local building materials supply company (LLP) in Karnataka selling Sand , Bricks, construction Aggregates to contractors / builders(business) & individuals.
For example doing job of the purchase manager for our customers ... to get best quotes and then provide order with best quote.
supposingly Our company does not charge anything to our customers for the services provided however we only charge a service fee/commission to our sand/brick vendors.
please help in asmd below clarifications. Thanks
1. Which of the them mentioned in the brackets ( VAT / Service Tax / TDS )are applicable for our company and at what rates in karnataka ?
2. Most of the transactions are above Rs 20000 per transaction and are cash as local vendors don't accept cheques but some customers give cheque and some cash. how can i show it in accounts ?
3. Customers send cheque / cash to our company name and then our company pays cash to vendors after deducting commission/service charge. Is it better to get the cheque in the vendor's name directly from the customer and then charge a separate service fee with the vendor to save tax ?
3. Can our company first buy on a purchase order from vendor and then resell to customer increasing sand/brick price ( which includes service charge )or is it not allowed
Request you to please help . Thanks sir .. mam
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DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English
Service tax / vat / tds sand / brick supplier