Service Tax Entry

if manufacturing company then pass first otherwsie second

In case of service provider. ist entry or second entry

incase of service provide pass first entry

Debtor A/c..................Dr

To Service Provided

To Service Tax @ 10%

To Education Cess @ 2%

To Secondary Education Cess @ 1%
.
If you bifurcate/pass the entry as mentioned above it will be easier for you to fill the Challan and Serive Tax Return.

From service provider's point of view.

Party A/c  Dr

 To service provided

 To service tax @ 10%

 To Edu cess @ 2%

 To SHE cess @ 1%

As the Edu cess and SHE cess have separate accounting codes , the same should be shown separately.

Whatever it is .....

The entry should be passes as

Party A/c  Dr

 To service provided

 To service tax @ 10%

 To Edu cess @ 2%

 To SHE cess @ 1%

Because it will be easy for bifurcation

Form Service Receipient's  point of view:

Expences(sevice) A/C                               Dr.          110.30

                  TO  Service provider's                                         98

                   TO Service Tax payable                                    10.30

                   TO TDS Payable (if any)                                    2

if service tax is on freight outward & inward then entry will be

Inward & outward  Dr

To Service tax 12%

To Edu. Cess 2%

To Sc. cess 1%.

Am i rite ?

Please

Debtors A/c         Dr.              10030

          To Professional fee A/c              Cr.      10000

          To Eduction Cess @ 2%                             20

          To Higher Eduction Cess @ 1%                    10

Sir i hava problem 

Y provied service to X  transport 30000/-  service tax 4350/- 

Pls give entries y and x books

Thanking you sir,