JV - Accounts

This query is : Resolved

balasundaram (Querist)
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11 March 2008 We Joint Venture Partners the details as follow
1. Pratap Engineers & constructions – Proprietorship - 49% (investment & Pro/Loss)
2. Raju Constructions – Partnership – 51%(investment & Pro/Loss)

The above organizations formed a Joint Venture Called as “Pratap & Raju JV. And executed the Hydro Mechanical works

How can I file the IT Returns? What rates will I calculate (one part is Proprietor and second part is Partnership)

If service tax applicable, payable by monthly or Quarterly?

And explain the accounting procedure at the time of closing the Joint Venture accounts

pushpendra

pushpendra (Expert)
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13 March 2008 J.v. is new stastu. apply seperate PAN NO. for ths J.V.

File IT Return with this PAN NO.

Rate of Partnership will apply on J.V.

Service Tax will be applicable quaterly.

At the time of closing of J.V. accounting will be in same manner as in Dissolution of Partnership Firm or Closing of partnership firm.

Shyam Lal Naik

Shyam Lal Naik (Expert)
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13 March 2008 You need to apply for PAN of the joint venture in the status of an AOP(Association of Persons).

In your case, since one of the JV member is a partnership firm, maximum marginal rate of tax will apply(currently 33.99%).

The share of income from Joint Venture in the hands of the venturer will be exempt u/s 86.

Information insufficient to opine periodicity of Service Tax Payment.

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