Tax liabilites on software development

I am a Individual freelance progammer (not releated to any firm/company)

I have Developed a Software for an Institution in period of 15 months approx. 

And Now i want to Present my bill as  "Job Work Bill"  the Bill amount is arround 1 Lakh & they will deduct

10% TDS (TDS on Professional Servoces) on it.

I want to know .......am  i liable ...to pay Service Tax 

Please advice me how should i present bill.

 

 

 

 

Replies (7)

Software development is comes under I.T. Services and hence liable to service tax @ 10.3%

Agree with above.

Should i  Take  Service Tax Reg No. for it.

in addition to my above reply I want to add one more thing.........

u have to take the service tax registeration no. once your total receipts from all services in a year exceeds Rs. 9 lacs......

& you will be liable to pay service tax once your receipts exceeds Rs. 10 lacs in a year.

Thanks Chauhan Ji,

So if my total receipt remains under 9 Lakhs.  I need not to worry  about service tax.

Please confirm this becuase i am very anixuios & afraid from this Taxation issue

I had never billed this kind of amount .

 

Thanks for your  valueable response ...

 

 

Yes, till the time ur billing remains below Rs. 9 lakh u don't required to get registered with inome
Srry u don't required to get registered with service tax dept till the billing of 9 lakh. And after registerqtion once ur billing reachesd Re. 10 lakh u will be liable to pay service tax.

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