Sir
We do erection (Labour oriented ) job and we bill our customers with basic charges and service tax.Is the service tax so billed to be paid to govt even though no payment is received from our client?.If so kindly attach me the notification issued by the department in this regard.
Thanking you
Jagannathan
dear jaganathan,
previously service tax payment is based on receipt basis till 01.04.2012 after that it has been changed to accrual basis. it means even if you have not received service tax payment u r liable for payment but after payment if there is change in any contract and if lt leads to change in consideration you can make payment on reduced basis.
regards,
ram narayana agnihotram
CAclubindia
