Jouranal entry for composition tax on work contracts
This query is : Resolved
16 November 2011
Dear All ,
We are having a client doing construction contracts of various banks, in these regard , against our bill banks are deducting KVAT(karnataka VAT)4% ( as per composition )and later on they are giving the cheque to us in the name of concerned LVO, How to Account these transactions. Please Help me in these case.
We are having a client doing construction contracts of various banks, in these regard , against our bill banks are deducting KVAT(karnataka VAT)4% ( as per composition )and later on they are giving the cheque to us in the name of concerned LVO, How to Account these transactions. Please Help me in these case.
16 November 2011
one thing be clarified. Who is LVO.
me from Maharatshtra. May be I am not getting your terminology.
me from Maharatshtra. May be I am not getting your terminology.
16 November 2011
let us take as Example
sales made to Bank 2,00,000.
Amount passed by the Bank1,90,000.
Retention Amount
(5% of 1.9lacks) ie., 9500.
Works contract wat
deducted by the Bank(4%) 7600.
Tds Deducted 2.26% 4294.
Amount recived 1,68,606
Points
1.. (retention amount should be returned after the specified period mentioned in the agreement)
2. Bank will also give account payee cheque amounting to 7600 to us by the name of the concerned LVO immediatly after the payment of bill. we will collect that cheque and submit the cheque to the vat office along with monthly return..
Hope it is clear Now..
sales made to Bank 2,00,000.
Amount passed by the Bank1,90,000.
Retention Amount
(5% of 1.9lacks) ie., 9500.
Works contract wat
deducted by the Bank(4%) 7600.
Tds Deducted 2.26% 4294.
Amount recived 1,68,606
Points
1.. (retention amount should be returned after the specified period mentioned in the agreement)
2. Bank will also give account payee cheque amounting to 7600 to us by the name of the concerned LVO immediatly after the payment of bill. we will collect that cheque and submit the cheque to the vat office along with monthly return..
Hope it is clear Now..
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now
Click here to login now
Similar Resolved Queries
Unanswered Queries
- TDS CREDIT MISMATCHING
- Buy back of shares u/s69
- Difference between Date of Payment and Date of Deduction?
- Unregistered suppliers utility
- Tax Audit Applicability – Newly Formed Partnership Firm with Profit Below 6%/8%
- GST Rate for Catering Services
- RCM @ 5% on Hamali charges, Transport Charges, Unloading charges we take ITC or not
- ITR 4 and Bank transactions
- FCRA 6 E- Intimation
- ADDITION OF CHALLAN IN TDS RETURN FORM 140
- CALCULATION OF DEFFERED TAX - OP BL IS DTL & CURRET IT DTA
- LLP audit under companies act
- Experienced CA recommendation from Kolkata for FNO return filing
- Interest Reporting in Form 168
- Sales of goods of amount Rs77 lakhs to a party
- Tax Demand of ₹4,650 for AY 2026-27
- Concept of Vendor and customner reconciliation
- Mistake in e-invoice identified after 24 hours
- EXPORT PAYMENT
- NRI ITR2 account in 2025-26.
Trending Online Classes
-
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English
CA Bhanwar Borana & CA Shubham Keswani
Subscribe to Pro
Join an elite circle of professionals
CAclubindia
