billing querry w r t service tax

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Bill raised on client
billable amount  Rs 85000
add:service tax Rs 8670
total bill amount Rs 93670

Client paid Rs 88901 (after dedt Rs 4769 as TDS)
Service tax Rs 8670  paid to Service tax Dept on due date.ie 5th of the next month

Later on the above bill was cancelled due to some reason.

Now how much amout to be adjusted in the next bill?

1    Rs 85000 or
2    Rs 93670(incl ser tax) or
3    Rs 88901( incl ser tax and dedt tds)

service tax Rs 8670 was already paid to Govt.

Next bill is for Rs 100000 plus 12.24 service tax? Rs 112240

Please go through the above problem and determine the amount of adjustment and amount of new bill to be raised.

Thnx and regds
Vishwa
Replies (1)
Why u r not issuing supplimentary bill for difference of 100000/- Less Rs. 85000/-.

You can mention previous bill details in the bill for reference.

As service tax is payable on receipt basis, there will be no difference as you would receive Rs. 100000/- only and not 180000/-, so no adjustment is required.

Regards.

Chauhan Anand Narayanbhai


CCI Pro

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