Vat and service tax on software (licence) sale

This query is : Resolved

arun laxman gaikwad (Querist)
Follow

29 June 2016 Dear Sir
One of our sister company is developing Finance Erp software and selling it.

We are charging Maharashtra VAT / CST to customer on invoice.

My question is whether we should charge VAT and Service tax both on the invoice ?

In other case one of our suppliers who sold software (licence) to us and charged M.VAT and Service tax both on the net amount.
product value 100
serv tax 15% 15
m.vat 5.5% 5.50
---------------------------------------
invoice amount 120.50
=======================
We want to confirm whether service tax also should be charged along with vat on the invoice.

Our sister company is having service tax number taken voluntarily.
Pl let us know any notification in this regard.

Arun Gaikwad

Rupesh Jain

Rupesh Jain (Expert)
Follow

29 June 2016 you have to charges both on net value

for more you see
https://taxguru.in/goods-and-service-tax/taxability-software-present-indirect-tax-laws-proposed-gst-examples-india.html

You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now