How to calculate service tax when we recd. lesser amount

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Guest

Guest (Querist)

13 November 2009 Sir/Madam

I want to know that if i have service tax registration no. & raised a bill for say Rs 100 & chg ser tax @ 10.3 % on it total comes to 110.30 to one of my client

Now my client pay to me 100/- only

whats my service tax liability

if u have any reference of any circular so please provide me

its urgent

so please reply as early as possible

CA. B.SRINIVASULU

CA. B.SRINIVASULU (Expert)

13 November 2009 Now you should assume 100 is inclusive of tax.

Ie tax = (100*10.3/110.3)= 9.30

Your receipt is = 90.70

You have to rasie a debit note

for service = 9.70
Tax 1.00

sunil

sunil (Expert)

29 March 2012 if i have raised a bill for Rs.1000000 for construction service which is inclusive of all taxes.whether under mentioned calculation is correct? 1000000*33%=330000. 330000*10.3/110.3=Service tax payable inclusive of Education and higher education cess =30816.. Please reply

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