Menu
Service tax on air travel agent
Sudhir Soni
Finance & Taxation
27
If we opt Compositon scheme of Air Travel Agent service tax there is Option to pay service tax at flat rate on ‘basic fare’ @ 0.7% in case of domestic booking and 1.4% in case of international booking – plus education cess and there is No restriction on availment of Cenvat credit also under rule 6(7) of STR
But my query is that if we charge extra service charges (other than commission received from airlines) from customer on that ticket then we charge service tax also on the same or not ?
Replies (5)
No, the rate would require to apply only on basic fare.
Sir,
Can we take credit of vender's service tax who is also leving tax on basic rate.
Yes, you can avail Cenvat Credit on this transtion.
It, means our service tax payable on air ticket is nil, due to our input or output service tax is same
i.e. basic fare on international ticket is 1,000/-
Output ST - 14
Input ST - 14
Air Tkt Service Tax Liabilities - Nil
Dear Sir / Madam,
Incometax rate(%) announced for the f year 2016-17 ?
Recent Topic
- Input tax credit under igst under insurance compan
- ITR Form to be used
- CGAS account Holder Deceased
- ITR form suggestion
- Post office KVP income.
- Free GST invoice tool I built for my practice R
- Clarification on Gratuity Exemption under Section
- GOODS AND SERVICE TAX - GSTR 1
- Correct ITR form
- Clarification required on Section 393 & Report
Related Topics
CAclubindia
