06 December 2012
In case of builders (service tax )
suppose the ser tax rate is at 10% (assume no edu cess) if I hav recd Rs 55 lac as advance against booking of flat 1 year back & now i am paying ser tax after obtainig Ser Tax No
Now later i recover ser tax from buyer of flat i.e, Rs 5 lac cash in hand is Rs ( 55 lac - 5 lac +5 lac ) =50 lacs
So my question is shouldnt be service tax on 55 lac as after paying tax amount lying with me is 55 Lac therefore ser tax = 55lac *10% =5.5
CAclubindia
