Service tax @ 1.55

Dear Shaik,

I suggest you check with the firm. I don't see any classification at this rate of Service Tax even after abatement.

Thanks,

Ganesh

Hi,

All leading newspapers give 15% commission to all advertisement agencies.

So when advertising agencies create an invoice they charge service tax on their profit margin.

which is the case in here. 15 % of 10.30 ( service tax ) = 1.55 %.

Hope this solve your query.

Thanks

thank you sir but how to make entry for these transaction, if you don't main please explain it.

Debtor A/c- 44682 

To Sales A/c- 44000

To Service Tax A/c. 682

every month we pay service tax, then we should claim service tax input,how i can get input credit this amount ? 

Originally posted by : Shaik
	every month we pay service tax, then we should claim service tax input,how i can get input credit this amount ?

whole the topic get changed now, request all to mention their role / status while posting the query,

the query was understood as shaik is accountant or CA and his client is vendor, who has issued the service tax invoice and he has to account it in books ............ but the scenerio got changed now, shaik is service receipent .............. no idea if he will reflct tomorrow that he is banker only  to service receipent

to claim the input credit on advertisement, please mention your taxable output service, and is it direcrly related for that service, then only you can avail credit !!

Dear Sir,

actually My Company is provided Fitness Service to Our client,  on that we  charge them service tax on their invoices so this is our  taxable output service and we get input service tax on advertisement and other payments like installations , printing and professional charges. 

advertisement .debit ................44000

service tax  debit .............................682

bank / creditors account ............. credit ................44682

Originally posted by : Shaik
	Dear Sir, actually My Company is provided Fitness Service to Our client,  on that we  charge them service tax on their invoices so this is our  taxable output service and we get input service tax on advertisement and other payments like installations , printing and professional charges.

their invoices means client issue u invoice? it should be "our invoice" i hope

thank you very much sir,

Originally posted by : U S Sharma
	advertisement .debit ................44000 service tax  debit .............................682 bank / creditors account ............. credit ................44682

 So finally its clear that, Input Credit  of Service Tax can be taken on the service tax paid on Advertising expenses. For the common services like Audit Fees, Advertisement etc. direct co-relation to output Service is not required.

Originally posted by : Shaik
	Dear Sir, actually My Company is provided Fitness Service to Our client,  on that we  charge them service tax on their invoices so this is our  taxable output service and we get input service tax on advertisement and other payments like installations , printing and professional charges.

@ CA Vibhash Kumar Sah

the discussion was made on the basis of this post, if his R/O and excise department allow them, why we should bar?