Payment of Service Tax

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Hi All,   Pl help in paying the Service Tax. Inv. Basic Value is Rs.14,49,685, 10.3% ST Rs. 1,49,318, Total Inv Value Rs.15,99,003

Payment details: Less: TDS Rs. 1,81,165, Net Credited to A/c. Rs.14,17,838. Please let me know on which amount should i pay service tax.  Is it on Rs.14,49,685/- basic inv. value or Rs.14,17,838/- receipt value.

Thanks in Advance

 

Replies (11)
Originally posted by : Nagabushan
Hi All,   Pl help in paying the Service Tax. Inv. Basic Value is Rs.14,49,685, 10.3% ST Rs. 1,49,318, Total Inv Value Rs.15,99,003
Payment details:  Inv. Value Rs.15,99,003 Less: TDS Rs. 1,81,165, Net Credited to A/c. Rs.14,17,838. Please let me know on which amount should i pay service tax.  Is it on Rs.14,49,685/- basic inv. value or Rs.14,17,838/- receipt value.
Thanks in Advance
 


 

You have to deposit service tax of Rs. 149318/- (Less) any service tax input credit taken. service tax is to be deposite on basic value not on received amount.

Whatever vivek said is absolutely right. You have to deposit service tax of Rs. 149318/- (Less) any service tax paid on input services (which is called as CENVAT Credit). Service tax is to be deposited on invoice value on the receipt basis. However, if the short amount received and the shortfall is on account of other than TDS, then the service tax is to calculated by following formula :

= Amount Received/ 110.30 X 10.30

The resultant amount is to be paid to the government after set off of CENVAT credit 

 


 

No Mr. Manoj B Gavali your formula is wrong.......

it is =(Net amout Received /100-TDSx100)x10.3%

No Mr. Manoj B Gavali your formula is wrong.......

it is =[Net amout Received /100-Rate of TDS)x100]/100+10.3x100

Thanks Vivek,

Is the below calculation correct.

1417838 / 88.67 x 100 = 15,99,005/- x 10.3% = 1,64,697/-.  But I have charged the client Rs.1,49,318/-. Why should we pay more ST.

Sroy its is some mistake..

No Mr. Manoj B Gavali your formula is wrong.......

it is =[Net amout Received /100-Rate of TDS)x100]/100+10.3x100

YOU SHOULD DEPOSITE SERVICE TAX RS. 149318 BUT IF U HAVE PAID SERVICE TAX ON INPUT SERVICE THAN U TAKE CENVAT CREDIT OF SERVICE TAX ON INPUT SERVICES. IF U HAVE NOT PAID SEVICE TAX ON INPUT SERVICES THAN U HAVE TO PAID SERVICE TAX RS. 149318 ON RECEIPTS BASIS

If you charge the Rs.15,99,003 from your client, than your treatment is correct

you will have to deposit whole of the service tax because tds is a deduction from account it will be treated as a receipt

Dear you should pay Service Tax  Rs. 1,49,318/- that you have collected on your net Rent value. If you have paid input service tax then you can take credit against your service tax collection of Rs. 149318/-, otherwise you must pay Rs. 149318/-.

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