Hello,
I am self-employed and for this FY since my professional services payment would go beyond 9 Lakhs the CA from the company that pays me suggested that I bill for the remaining amount (> 9 Lakhs) in the next FY. This is to avoid registration for ST. Can someone kindly let me know if doing so is fine?
Thanks!
Santosh
it would be fine, provided cash is also received in next year
Some more clarification on the above issue.
As per ST Rule 4A, the invoice has to be issued within 14days from the completion of service or receipt of payment whichever is earlier.
As per Point of Taxation Rule, point of taxation will be date of invoice if invoice is issued as above. If invoice is not issued within 14 days, the point of taxation will be date of completion of service.
| Originally posted by : ganesh | ||
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... If invoice is not issued within 14 days, the point of taxation will be date of completion of service. |
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Thanks for the clarification. Since the deadline for the completion of work is not urgent I can ensure to complete final part only in next FY and also issue invoice after that.
Naveen Fintech Pvt Ltd
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Gupta Sachdeva & Co. Chartered Accountants
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