Dear Friends,
1) As per the Service Tax Rules, if the service provider has not charged Service Tax to the Service Recipient then while receiving the amount from the Service Recipient the amount received will be deemed to be including service tax. And the service provider will have to pay the service tax, even if he has not collected service tax from the client.
2) Your client will have to charge Service Tax in his bill when his turnover goes above Rs. 10 Lacs.
Regards,
Devendra Kulkarni
thank you Mr. Kulkarni,
if you pls let me know that if the billing amount does not exceed 10 lacs in aggregate, then do we will not liable to pay ST even if we r regd.
with service tax.
Pls provide the relevant section/notification etc. for the same.
manoj
THX SHARMA G FOR ENLIGHTEN ON THE MATTER THROUGH NOTIFIACATION NO.08/2008 ST.
THX
thank you so much mr. sharma,
dear all
pls also give your confirmation for the following: (in layman's language)
1) if the value of taxable services does not exceed Rs. 10 Lacs in a FY the company need not to take the service tax from their client even though they are regd. with service tax.
2) further if the have collected the same from their client then only they need to submit to the concerned authority.
manoj
| Originally posted by : manoj kumar | ||
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thank you so much mr. sharma, dear all pls also give your confirmation for the following: (in layman's language) 1) if the value of taxable services does not exceed Rs. 10 Lacs in a FY the company need not to take the service tax from their client even though they are regd. with service tax. 2) further if the have collected the same from their client then only they need to submit to the concerned authority. manoj |
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1) upto 10 lacs notification is valid and the service provider will not charge service tax to clients provided he does not takes cenvat credit on services received.
2) once registered the service provider must submit returns ( even nil return) half yearly basis by 25th oct and 25th april every year.
3) if the assesee collects any service tax before reaching 10 lacs that means that assesee is not interested to avail the benefits of notification 8/2008 and hence will required to pay service tax from Rs 1/- in that year.
thank you so much sir,
Pls clear my one more little confusion.
what may be the consequences?
manoj
one more thing i would like to say
this is the only protal where i got answeres of my almost all querries.
a very BIG thanks to all members of caclubindia.
manoj
| Originally posted by : manoj kumar | ||
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thank you so much sir, Pls clear my one more little confusion. "if one has charge service tax from one client and not from another in the next invoice" what may be the consequences? manoj |
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charging service tax from any client means that assessee did not opted for exemption of 10 L, hence all the services tendered / billed during the year will be service tax paid, if assessee fails to pay, then department will make assessment and issue demand with interest and penalty.
Dear Mr. Sharma,
Assessee can claim the benefit under Notification No. 8/2008-Service Tax, but how it is to be communicated to the department and what is the time limit of the same.
Please Clarify.
With Regards
Nidhi Aggarwal
CAclubindia
