Service tax on restaurant
This query is : Resolved
Querist : Anonymous
Querist :
Anonymous
(Querist)
03 May 2013
I have started a NEW A.C. Restaurant in April 2013.When should i get myself registered under service tax,When my sale crosses 9 lakhs or right now?Or in next financial year if sale of 2013-14 exceeds 9 lakhs?
03 May 2013
in this financial year, whenever your sales exceed 22.5 lacs,
because in case of ac resturant 40% is taxable only
and 40% of 22.5 lacs is 9 lacs.
this is because of reason that the Registration is req when the AGGREGATE VALUE OF TAXABLE SERVICE (agts) exceeds 9 lacs
and as per definition of AGTS any exemption will not be calculated in calculating AGTS. also there the word TAXABLE is written.
Hence 60% abatement in case of restaurants should be separated for checking the limit of 9 lacs and 10 lacs(for tax payment
though this is my understanding of provision, others may differ.
Note: if your restaurant is under the name of some big brand name, then registration required now, as no exemption for them.
and registration requiered in the year it crosses the limit, not to wait for the next year
because in case of ac resturant 40% is taxable only
and 40% of 22.5 lacs is 9 lacs.
this is because of reason that the Registration is req when the AGGREGATE VALUE OF TAXABLE SERVICE (agts) exceeds 9 lacs
and as per definition of AGTS any exemption will not be calculated in calculating AGTS. also there the word TAXABLE is written.
Hence 60% abatement in case of restaurants should be separated for checking the limit of 9 lacs and 10 lacs(for tax payment
though this is my understanding of provision, others may differ.
Note: if your restaurant is under the name of some big brand name, then registration required now, as no exemption for them.
and registration requiered in the year it crosses the limit, not to wait for the next year
04 May 2013
I agree with CA Vikas Acharya.
Message likes :
1 times
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
- ITR 2 Short Term gain & Long term gain
- Reporting Income under Section 44ADA
- Itr 1 processing
- Off Market debit and credit transaction
- Showing Gift from relative in ITR for this year
- ITR validation error - Balance sheet is not filled
- ITR 1: Details for showing Exempt Income
- ITR selection for salaries and capital gain less than L
- Share accounting-->fifo - capital gain - period as per fifo?
- Form 10E u/s 89(1). Need clarification because experts opinions differ !!!!
- Query regarding TDS on EPFO Higher Pension Arrears*
- Gst invoice numbering and delivery challan numbering
- Sales amount in Gstr1
- E Commerce GSTR1 & 3B how to file
- GST Cancellation without jurisdiction
- Legal Opinion on Registrar's Refusal to Investigate a Society for Non-Renewal and Non-Compliance
- GST Refund_RFD-01
- Form10BD was uploaded successfully without any Error but after 24 hours, Form10BE are not available
- Annexure B utility for GST Refund
- Tax amount diff in Gstr1 and 3B in tax compare reports
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
