News paper agency charged 1.854% service tax on sales value.. Because advertisement agency charged commission 15%
and service tax charged on it... So 12% of service tax charged on 15% amount of invoice value.. What amount stated in half
yearly return of service tax i.e. in ST-3?
there is no such rate of 1.854% under service tax law.
Meaning while filing the returns, you will have to reverse calculate the gross amount based on the service tax amount considering the same to be 12.36%.
Principall, he is charging ST only on the commission that he has earned.
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