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Need your help with tax calculations

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Amjath Khan

Manager

29 Points Posted on 23 November 2016

Hello All,

I desperately need your help in understanding my tax liabilities.

I work for a US company as a contract which started last month. It's a direct contract and no any other agencies are in between us. The payment will be paid through wire transfer. Before this contract, I've been working as a full-time employee and paid my tax till Sep 2016.

Question:

1. Should I file my ITR along with my contract revenue details?

2. What should I do to register myself as an individual contract, should I fill any form and upload to the Income tax site right away?

3. Should I pay 15% service tax on my revenue? Or only on revenue-expences?

Thanks for helping me!

Amjath

Replies (1)

Sunil Kumar

Indirect Taxation

1146 Points Posted on 25 November 2016

Hi Amjath,

So you are working as professional with the company. You are not require to charge any service tax unless your revenue exceeds Rs 10 Lakh. Further, the service tax is require to be charge on full value. It needs to be deposit with government on quarterly basis.

Further, as far as ITR is concern you need to file ITR annually (If net income exceeds Rs 250000). The Company would going to deduct TDS @ 10% on your payments.The tax dedcuted can be claim against final tax liability by filling ITR against final liability.

Hope information serves your purpose!!!

Regards