Service tax limit

serice tax exemption query :

F.Y. 05-06 -TURNOVER Rs.5 Lacs

F.Y. 06-07 - TURNOVER Rs.9.5 Lacs (In the F.Y.06-07 we have to apply for Registration)

F.Y.07-08 - TURNOVER Rs.10.5 Lacs (means we have to charges service tax on 0.5 Lacs only for F.Y.07-08)

F.Y. 08-09 TURNOVER Rs.6 Lacs we have to charge service tax on entire Amount of Rs.6 Lacs .

BUT IN F.Y.09-10 turnover is 9 Lacs then service tax to be charges or not????????????????????????

 

 

because i have heard that once limit of Rs.10 Lacs is crossed then we have to charge service tax LIFETIME.

Replies (2)

"i have heard that once limit of Rs.10 Lacs is crossed then we have to charge service tax LIFETIME.""

 You are correct Once you cross the limit,, service tax will be charged every year,,,,

 

 

 

 

When your turnover touches 9 lacs, please apply for service tax registration and once it crosses 10lacs, you can collect and remit the applicable service tax after availing the eligible cenvat credit.

 

rengaraj r.k

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