Service tax turnover applicability

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Sankar N

Manager

21 Points Posted on 07 May 2014

Sir

We have started our organisation (Accomadation & Restaurant) year last financial year 2012-13. During the year we made Income by way of Accomadation Rs.9.26 lakhs & through Sales at Restaurant Rs.32 lakhs. We have registered with Service Tax for Accomadation. Our doubt is whether we have crossed the limit of Rs.10 Lakhs in this year or not. What is the total turnover as per Service Tax whether Rs.9.26 lakhs or Rs.41.26 lakhs

Replies (4)

Pavan.s

Auditor & Tax Consultant

32 Points Posted on 07 May 2014

As per my knowledge it's Rs. 9.26 Lakhs So still u not cross 10 L. If u ar cross Rs10L in subsequent year No need to worry because u can take one time exemption of Rs 10. If I'm wrong any one plz correct me Pavan. S Thanking you Pavanp417 @ gmail.com

Pavan.s

Auditor & Tax Consultant

32 Points Posted on 07 May 2014

One time exemption of Rs 10L

JMS

DY.MANAGER -COMMERCIAL

120 Points Posted on 07 May 2014

If you show your turnover under one umberilla for A & R, then you are liable to service tax as you have crossed the threshold limit of Rs.10 Lakhs. If you show your accounts seperately for A & R, you need to get registered with ST for Restaurent sales and pay service tax whereas for accommodation not required to take registration since the turnover is still within the limit of threshold.

Regards,

JMS