Service tax calculation for partner ship firm

937 views 3 replies

We

1.  Partner ship (started April 1, 2015)

2. Get Service Tax Registration in Aug 2015

3. Last Year 2014-15 Turn Over Below Rs.10.00 (Proprieter Ship Firm)

4. Expected Turn Over for 2014--15 is about Rs. 20.00

4. Raise 5 no. Invoice with Service Tax

5. Till Sept 30, 2015, received payment agaist only 2 invoice

6.  What will be calculation of Service Tax 

A..      On on basis of total amount all 5 Invoice generated

OR

B. On the basis of collection of payment received agaist 2 Invoices 

Please Guid Us,

 

With Thanks,

 

ANOOP KUMAR GUPTA

Replies (3)
You have two options either you can pay service tax on cash basis or invoice basis. For cash basis your turnover should not exceed 50 lakhs.

when you have raised bills with service tax, exemption is gone, now its choice of accounting policy, if maintained with mercantile system, then you have to pay now, and you have 90 days time to revise return if you get discounted payment. 

.

cash basis is applicable to chartered accountants / lawers and similer professionals only, where the chance of bad debt is high 

Dear Sh. U.S.Sharma  &  Sachin Ji,

1.  Partner ship (started April 1, 2015)

2. Get Service Tax Registration in Aug 2015

3. Last Year 2014-15 Turn Over Below Rs.10.00 (Proprieter Ship Firm)

4. Expected Turn Over for 2014--15 is about Rs. 20.00 4. Raise 5 no. Invoice with Service Tax 5. Till Sept 30, 2015, received payment agaist only 2 invoice 6.  What will be calculation of Service Tax 

A..      On on basis of total amount all 5 Invoice generated

OR

B. On the basis of collection of payment received agaist 2 Invoices 

We are provide consultancy on Energy conservation  and myself is Accredited Energy Auditor and our Partnership firm is registered with Service Tax under Engineering Consutancy

We will thankfull, if guid me regading calculation of service Tax

With Thanks

Anoop Kumar Gupta

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