MNC ltd is software servie providing company, it turnover is Rs. 43,75,356/- in FY -2009-10. but it did not get service tax registration Number and it did not collect Service tax from his client for FY-2009-10
pls advice me, what is service tax liabiltiy of that company wheather it need to pay service tax for FY-2009-10. if yes, How it will pay servie Tax, becaues it did collect S.Tax,
09 April 2010
Company has to pay service tax as it is crossed d exempted limit of 10 laks. Since u have collected service charges you need to pay service tax on d same. IT is immaterial whether u have collected service tax or not, your liability to pay service tax on service charges received.
24 April 2010
Dear Chandru, if services provided by MNC Ltd. covered under the Service tax preview (non-taxable service & Export serivces are not leviable) then company is liable to pay service tax irrespective of fact whether he charged or not. Please note company is liable to pay tax on back calculation i.e. collection deemed including service tax hence not required to pay on gross collection. secondly you can charge the same from customer issueing a "DEBIT NOTE"
CAclubindia
