Save Rs 499 on a 2-Year Ad-Free CAclubindia Pro Membership. Subscribe Now!

Service Tax Rate Applicability

rates 2051 views 4 replies

Raju Rakhama Jaid

Service

35 Points Posted on 24 March 2009

Notification No. 8/2009 ST. This is wih reference to Rate of Service Tax applicable w.e.f 24-02-2009. One of the vendor has raised the bill for AMC for the month of Feb 09. He raised the bill at the end of Feb with bill dt. 28-02-2009 in that he charged Serice tax @ 12.36. He states that the service was for the full month. Pls guide me whether his chargeability was justify. Whether bill date does not make any differrence? He also state that can he charge service tax @ 12.36% upto 24-02-2009 & 10.30& thereafter till Feb 09 in one single bill. Pls guide.

Replies (4)

Ram Avtar Singh

Nagari Sultanpur U.P.Delhi

15539 Points Posted on 24 March 2009

in a singal bill he will charge 12.36% because service was rendered full month of feb. in next month he will charge 10.3%

Guest

For rate of serice tax service provided is important.....

therefore for service provided upto 24.2.09 tax rate will be 12.36% and after that 10.3%

Ram Avtar Singh

Nagari Sultanpur U.P.Delhi

15539 Points Posted on 24 March 2009

service was started and contineued up to feb. 85% workd done @ 12.36% acordig to period he will raised a singal bill. so he will charge 12.36%

Mayank Sharda

Student

53 Points Posted on 25 March 2009

In service tax taxable event is rendering of services i.e the rate of such date is taken when services are rendered. In service no such date is fixed for rates, so in the absense of such date the rate of taxable event is taken. Rendering of services should be bifurcate before or after 24th Feb for chargeability.