How to know that service tax is mandatory for start business

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Querist : Anonymous

Querist : Anonymous (Querist)

16 December 2013 A person want to open a firm. He want to give labour to the govt. department by his firm. As it is a service.
But he just start a business and he have a low capital. And he does not know that the turnover of his business will be 10 lath or not.
Is it mandatory for him to take service tax number?
Please write all the condition for service tax registration.

Nikhil Kaushik

Nikhil Kaushik (Expert)
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16 December 2013 not ab initio. you need to register for service tax registration when your turnover exceed Rs 9 lakhs and service tax shall be payable once you cross 10 lakhs annual turnover. Once the annual turnover crosses 10 lakhs, service tax shall be payable in subsequent years.

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Querist : Anonymous

Querist : Anonymous (Querist)

16 December 2013 If his turnover cross this limit in Oct month then ?

Nikhil Kaushik

Nikhil Kaushik (Expert)
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16 December 2013 then register. and charge service tax prospectively.

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