Company has got regsitered itself with Service Tax Authorities without expecting to cross the limit of turnover of 9 lacs.
Will it be liable to recover and deposit the service tax before crossing limits.
Please give your comments.
AMIT
AMIT KUMAR GUPTA (SERVICE) (30 Points)
23 June 2011Company has got regsitered itself with Service Tax Authorities without expecting to cross the limit of turnover of 9 lacs.
Will it be liable to recover and deposit the service tax before crossing limits.
Please give your comments.
AMIT
CS,CA F,Numrologi TusharSampat
(CS CA F Numerologist Astrologer Graphologist Face reader Vastu Expert)
(85930 Points)
Replied 23 June 2011
For registration d threshold limit mentioned is Rs 9,00,000 and for payment of ST the threshold limit is Rs 10,00,000 n once it crosses this then for evry taxable services provided that person is liable to pay St.
In your case i think still it has not touched rs 10,00,000 so no ST is to be paid.
Registration n Liabilty to pay ST has no direct connection in my view.
Views of other members are also welcomed .
Correct me if i am wrong.
Arun Kumar Singh
(GST Advocate)
(15188 Points)
Replied 23 June 2011
General exemption is Rs. 10 lacks. Even if you have to registered in service tax, you can avail upto 10 lacks exemption limit or you can pay service tax from now also. You should avail exemption limit.
Omprakash Agarwal
(accountant)
(43 Points)
Replied 23 June 2011
if in previous year taxable service receipt cross 10 lakhs then in current year whole amount is taxable, or if in current year first time taxable service cross 10 lakhs then only above 10 lakhs amount will be taxable.
CA Abhishek Banka
(Accounts & Finance Manager)
(108 Points)
Replied 23 June 2011
If the amount of service provide is less than TEN LACS,then it will come under Small Service Provider.So the SSP has been given the exemption upto 10 lacs.any amount over that u have to pay service tax.
So in General,as said by earlier members no service tax to be paid upto 10 lacs.
CS,CA F,Numrologi TusharSampat
(CS CA F Numerologist Astrologer Graphologist Face reader Vastu Expert)
(85930 Points)
Replied 23 June 2011
IF ITS FIRST TIME TOUCHING 10 LACS THN THE AMT EXCEEDING RS 10 LACS eg.
IF ITS 12LACS THN ON BAL 2 LACS ONLY WILL BE CHARGEABLE TO TAX.
thanks 4 ur reply tushar
but i mean 2 say weather the single bill to a person will be calculated 4 service tax proportionately as soon as it exceeds 10 laks of the service providers gross recipts during the year or on the entire bill ?
example :-
A service provider provided total service to all the persons during first 4 months which comes to an amount of 9.8 lakhs but in the next bill to a person he provided service worth Rs.30000 .
so my question is weather the service tax will be calculated on that bill is on entire amount of Rs.30000 only on Rs.10000. separately???
with regards from,
vijay
CA.VATSAL SHAH
(SERVICE)
(202 Points)
Replied 24 June 2011
|
Originally posted by : S. VIJAY NARENDRA |
||
 |
Yes, you have to charge service tax on only Rs.10000. Invoice will be like: Service Charges 30000 Service tax on 10000 1000 ed cess 2% 20 S.h.ed cee 1% 10 Total 31030. after exceeding limit of 10 lacs each invoice will attract st at 10.30% from next year also each invoice will attract service tax. because threshold exemption limit available for once only. |
 |
thanks
but weather thresholdlimit will be availed even in subsequent several years the total service provided is below the limit.
i mean 2 say suppose in the
2nd year gross service provided is 35000
3rd year gross service provide is 1.2 lakhs
4th year gross service provided is 10000
weather he should collect service tax from each of these year or not???????
CAclubindia
