Reversal of service charge
This query is : Resolved
Querist : Anonymous
Querist :
Anonymous
(Querist)
26 March 2016
Dear Experts,
In respect of labour contract i have issued the invoice Rs. 200000 service charge plus 29000 ST total 229000 but the service receiver has accepted the bill i.e 190000 service charge plus 27550 ST total 217550 however the service receiver has issued the credit note i.e. 10000 service charge plus 1450 ST total 11450, my query is can i pass the reversal entry on behalf of credit note..i.e..
Service charge Dr... 10000
ST payable DR ..........1450
To party...... 11450
However some CA has pointed out that if once service has been provided that service can't be reverse No matter you have received the payment or not..
Therefore all experts are requested to resolve my query..
Regard
Ramesh Singh
In respect of labour contract i have issued the invoice Rs. 200000 service charge plus 29000 ST total 229000 but the service receiver has accepted the bill i.e 190000 service charge plus 27550 ST total 217550 however the service receiver has issued the credit note i.e. 10000 service charge plus 1450 ST total 11450, my query is can i pass the reversal entry on behalf of credit note..i.e..
Service charge Dr... 10000
ST payable DR ..........1450
To party...... 11450
However some CA has pointed out that if once service has been provided that service can't be reverse No matter you have received the payment or not..
Therefore all experts are requested to resolve my query..
Regard
Ramesh Singh
26 March 2016
Your reversal entry is OK. Reversal based on debit note/credit note is acceptable by the service tax dept.
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
- ITDS U/S.194T of Firm
- Difference between Date of Payment and Date of Deduction?
- Unregistered suppliers utility
- Tax Audit Applicability – Newly Formed Partnership Firm with Profit Below 6%/8%
- Non-Compliance documents have not been submitted by the contractors debited
- Invertaded duty struture
- FCRA 6 E- Intimation
- GST Rate for Catering Services
- EXPORT COMMERCIAL INVOICE HSN CODE
- Same demand raised for original as well as rectification request return
- RCM @ 5% on Hamali charges, Transport Charges, Unloading charges we take ITC or not
- 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
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
