What amount Service Tax Charged on Advertise Agency
This query is : Resolved
bhavin shah
(Querist)
18 June 2010
Dear Sir,
My own Advertise Agency in Gujarat. I Collect advertise from my client(s) and this advertisement give to Local NewsPaper.
My question is that At what amount service tax charged?
E.g. For one advertise Rs. 8000 Rate charged by Local NewsPaper to our agency & Our agency charge 10000 Rs. Rate to Customer. At same time some Discount given to customer (depend on customer discount given) say rs. 500. In our bill Service Tax charged on Rs. 10,000 or Rs. 9500(after Discount).
Earlier our Practice to charged service tax on Rs.9500 but after Service Tax Department Assessment, Department said that We have charged service tax on Gross amount Say Rs. 10,000. Is it true?
Reply on this above said issue by Expert is service tax charged on gross amount but i give discount to all my client depends on size of advertisement.
Can i give to my client credit note, so, that i have liability on net amount which collected from my client.
Regards,
Bhavin Shah
My own Advertise Agency in Gujarat. I Collect advertise from my client(s) and this advertisement give to Local NewsPaper.
My question is that At what amount service tax charged?
E.g. For one advertise Rs. 8000 Rate charged by Local NewsPaper to our agency & Our agency charge 10000 Rs. Rate to Customer. At same time some Discount given to customer (depend on customer discount given) say rs. 500. In our bill Service Tax charged on Rs. 10,000 or Rs. 9500(after Discount).
Earlier our Practice to charged service tax on Rs.9500 but after Service Tax Department Assessment, Department said that We have charged service tax on Gross amount Say Rs. 10,000. Is it true?
Reply on this above said issue by Expert is service tax charged on gross amount but i give discount to all my client depends on size of advertisement.
Can i give to my client credit note, so, that i have liability on net amount which collected from my client.
Regards,
Bhavin Shah
CA Ashok Kumar Sahu
(Expert)
19 June 2010
YES, SERVICE TAX IS CHARGEABLE ON GROSS BILL AMT.
CMA Arif Farooqui
(Expert)
27 June 2010
on gross bill amount
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
- Depreciation Chart Companies Act
- GST Audit whether Govt Companies are exempt?
- PTRC Show Cause Notice on Email
- Utilisation Fy 25-26 TDS challans in Fy 26-27 TDS Return
- Unable to File TDS Q2 Return – New TRACES Portal Error
- Capital Gail Exemption Certificate
- Issuing of delivery challan by seller of goods
- SECTION 393(3) TAX ON CASH WITHDRAWAL
- Taxation of crypto futures in India Fy 2026- 2027
- Transfer of Physical Stock Between Two Proprietorship Concerns
- Expert Help Required for TDS Refund 100000 Through TRACES – AY 2022–23
- IMPORT PURCHASE ENTRY PASSED IN BOOKS OF ACCOUNT
- FAST DS 26 Undisclosed Foreign Asset Disclosure Scheme 2026
- Regime change
- Goods sold but invoice not issued
- Tally: Imported bank entries do not show up in manual reconciliation
- Sales of goods of amount Rs97 lakhs to a party
- Confused About My Career After 12th — Cyber Security, AI or Finance? Need Guidance
- FAST-DS 2026 Under Tax Law - No recourse or support for person declaring via this scheme?
- Guidance Needed: Linking Multiple Form 26QB Payments and Responding to ITD Defaulter Notice
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
