Hi,
Kindly solve my query, i am in confusion related to this issue:
limited company:
1)In case of GTA whether the Service tax must be deposited to the Gov. at the time of Liability booking or at the time of actual payment to the transporter, who is providing services to us.
For example: The transporter has provided us services and given us the freight bill lets say, in the month of Oct 08 2010 and on Oct 08 we have created the liability in our books but we are actually making payment to the transporter on the month of Dec. Whether in this case we will deposit service tax in Oct 10 ( or we can say by 5th of Nov 10) or we will deposit the service tax in Dec 10( or we can say by 5th of Jan 11).
Further,
2) If we are paying advance to the transporter then wether the liability of service tax arises on advance payment to the trnsporter or it arises on recieving the bill and crediting the same in the books i.e after creation of liability?????
promt reply would be appreciated...
thanks!!
CAclubindia
