How to Calculate service tax under point of taxtion regime

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Hi, Good Evening everybody,

Please someboby help me regarding calculation of input and output service tax under point of taxaion regime.

Case Study:

XYZ Pvt Ltd provides taxable service. Service tax rate is 12.36%.

Details of bill issued:

1-4-2013- issue bill to Mr A for amounting Rs.112360 with service tax (payment received on the month of April).

2-4-2013- issue bill to Mr B for amounting Rs.56180 with service tax (payment received on the month of May).

3-4-2013- issue bill to Mr C for amounting Rs.73034 with service tax (payment received after 6 month).

3-4-2013- receive advance from Mr D Rs. 35000 for service to be provided.

Details of bill received:

2-4-2013- receive bill from Mr P for Rs. 67416 inclusive of service tax (payment made on the month of April).

3-4-2013- receive bill from Mr Q for Rs. 61798 inclusive of service tax (payment made on the month of May).

4-4-2013- receive bill from Mr R for Rs. 44944 inclusive of service tax (payment made after 6 month).

5-4-2013- payment of advance to Mr S Rs.25000 for services.

ALL Bills issued and received with 30 days from the date of completion of taxable service or receipt of any payment towards service.

Replies (3)

Taking Rule 3 of Point of Taxation rules into consideration

1. All invoices are received or submitted within 30 days of completion of service. Therefore the point of taxation is invoice date in all cases.

subject to the following:

a.  Any payment received or paid after invoice date, point of taxation is invoice date.

b. Any payment received or paid including "ANY ADVANCE" related to the service before the invoice date, point of taxation is payment date

thanks for ur rply, this section is followed for the calculation of ouput service tax. What about input service tax? Which section is followed for calculation of input service tax?

Cenvat Credit Rules are followed for calculating Input service tax.


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