Hi experts,

Our Auditor has charged service tax on professional fees( Related to filing form A under Sick industries act), Xerox charges, and travelling expenses. Please not that he has raised individual bills for all of the three services (?) above.

The Tax law says

"Value of Taxable Service:
In the case of practising Chartered Accountant, Practising Cost Accountant and Practising Company Secretary– “Value of taxable service shall be the gross amount charged by the service provider for such services rendered by him.” (Section 67 of Finance Act, 1994 as amended)". Further to add, the law defined the taxable services can be provided by a Chartered accountant, and I believe the above said service is not falling under the tax net.

Is the tax charged by the auditor for reimbursement of Travelling exp. and xerox charges is correct. Pls clarify with possible arguement.

Thanks.

Dear Members,

In many balance sheets I observe a line always attached with debtors in schedule
i.e (Debtors are subject to confirmation).

May I know the source from where the auditor or management got right to attach this line.

Please reply ASAP.

Regards,
CA Rahul

Please help me the following query:
Whether expenditures like audit fees etc. are allowable in case of voluntary closer of business?

Please tell me is service tax applicable on sale of licensed software to AICTE approved colleges.

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A financial institution issued deep discount bonds in 1996 which have a face value of Rs.2, 00,000 and a maturity period of 25 years. The bond was issued at Rs.5300. What is the value of this zero coupon bond?

Dear Sir,
Request you to confirm the following:

We are purchasing DI fittings and will be in our stock. The purchase invoice will consist of material value + ED.

When we bill the same for selling, do we:

a) How to pass on the duty to our purchaser

b) Should the bill have the detail of material value (selling price) + Duty with individual calculation. Do we need an excise registration.

c) Incase of sales outside the state CST @ 2% with Form C

d) Incase of sales outside the state without Form C CST @ local tax or 10% whichever is higher.

e) Incase of sales to government department (irrespective of within the state or outside the state)rate of tax 4%. Form D has been abolished.

Request you to confirm / clarify the above details.
Regards.

On getting some clarifications from the panel of Experts of this forum, yesterday, I had approached the Service Tax Department and I had been categorically told as under
1. Once the revenue of any Member's Club at any point of time crosses the threshold limit, ( and it is available to the Club), it has to pay Service Tax on the entire revenue and not on the difference amount that exceeds 10 lakhs.

2. The Club has been ear marking some portion of the Revenue (Donations) towards Building fund account and treated it as Donation to Building fund since 1998 as provided under the Bye-laws of the Club. The department argues that this would be treated as Mandatory Donation and would also be taxable revenue.

Whatever we had been doing (computing the income)during the past years, we have been asked to continue to do so . The Club has been treating the entire receipts as its revenue and paying ST since 2004. All along the revenue exceeds the threshold limit has not been utilized

Please clarify whether the stand taken and cleared by the Department is true? Please throw some lights on the subject and give us your valued opinion on the matter that will enable us to further proceed or drop the the entire matter

How should we proceed with the payment of TDS for the month of April 2009 ?

I am an NRI looking to purchase my primary residence in USA and fund a portion of it thru sale of my property (land) in India. Will the sale of India property be tax exempted ? Also how to go about transfering the money to US, is there a min or max amount restriction?