The bill of maintenance expenses shows Rs. 10000 as gross amount, Rs. 1000 as Service tax, Rs.1200 as VAT. Total- Rs.12200 for the period Dec,09 to Dec,10.
The company doesnot take Cenvat Credit OR VAT input credit.
So, prepaid expenses will be calculated on Rs. 10,000 or Rs. 12200 for the period April,10 to Dec,10.
CAclubindia
