Service Tax

I presume that Service Tax Registration was applied for on crossing the threshold limit of Rs. 9 lakh for registration  and the application was made within 1 month of crossing the limit. If my prsemuptions are correct then service tax will be charged from the time billing exceeds rs.10 lakhs or receipt of rs10 lakh in the financial year

If you are charging service tax necessary to registered....

If you don't have the ST 2 (Certificate of Registration) that means you are not registered.

Yes u have 2 charge service tax in bills.....

 Service tax will be charged from the time billing exceeds Rs.10 lakhs or receipt of rs10 lakh in the financial year
 

Why service tax would be charged from the time billing exceeds Rs.10 lakhs or receipt of Rs. 10 lakhs in the financial year? Why not on exceeds Rs.9.00 Lakhs?

Originally posted by : Prinkle
	Why service tax would be charged from the time billing exceeds Rs.10 lakhs or receipt of Rs. 10 lakhs in the financial year? Why not on exceeds Rs.9.00 Lakhs?

only registration is mandatory on 9 lacs, for ease of trade to absorb the time taken in process of new registration , tax is payable only when the service charges cross 10 lacs. 

Hi

Can anyone give me format for calculation of Service Tax

Thanx in advance...

taxable service ................10000

service tax 10% 1000

Edu Cess... 2%.....20

S&HS EC.....1%.....10   

................................................1030

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Invoice total ......................11030

Calculatoion of Service Tax :-

a) if service tax is not inclusive in the amt of bill then service tax is calculated by this formula :-

                         Amt of bill * rate of service tax (10%)

                   +    Educational cess = 3% of service tax

Its simply calculated by :- amt of bill * 10.3%

b) if service tax is inclusive in the amt of bill then service tax is calculated by this formula :-

                              Gross amt charged *  10.3%/110.3%