SERIVICE TAX AND WCT
This query is : Resolved
13 April 2011
Hello everyone,
I had this query:
In my company, we have to take an AMC on Air conditioner.
The service portion is 54%.
could you please clarify the taxability on this contract.
Is it say on Rs 100 basic charge
Service tax @ 10.3% on 54% = 5.56
Composition tax @ 4.2% on basic price + service tax = 4.2% *(100+5.56) = 4.43
hence total amt inclusive tax = 110
Is WCT chargeable on Service tax also?
Kindly clarify is the tax calculation correct or not.
Thanking you in anticipation.
Regards
Divya Goyal
I had this query:
In my company, we have to take an AMC on Air conditioner.
The service portion is 54%.
could you please clarify the taxability on this contract.
Is it say on Rs 100 basic charge
Service tax @ 10.3% on 54% = 5.56
Composition tax @ 4.2% on basic price + service tax = 4.2% *(100+5.56) = 4.43
hence total amt inclusive tax = 110
Is WCT chargeable on Service tax also?
Kindly clarify is the tax calculation correct or not.
Thanking you in anticipation.
Regards
Divya Goyal
13 April 2011
NO VAT on ST or vice versa.
The value of services if 56 then ST @ 10.3% on that. This is assuming that the material cost is 44%. Dedcution under Not. 12/2003 is available in such a case.
The value of services if 56 then ST @ 10.3% on that. This is assuming that the material cost is 44%. Dedcution under Not. 12/2003 is available in such a case.
13 April 2011
Respected Sir,
First my company falls under service tax exempt category.
secondly i wanted to ask how much compositre tax will be charged.
The bidder in my case is charging 4.2% of total basic price + service tax i.e. 4.2%*(100+10.3%*54%*100) = Rs 4.433
Is his way to charge tax correct?
First my company falls under service tax exempt category.
secondly i wanted to ask how much compositre tax will be charged.
The bidder in my case is charging 4.2% of total basic price + service tax i.e. 4.2%*(100+10.3%*54%*100) = Rs 4.433
Is his way to charge tax correct?
23 July 2025
https://docs.google.com/document/d/1aPRUnfoWZxguCmLS4OueaFCbG0jzduCMTOvajNPNc18/edit?usp=sharing
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