New firm

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karan (Querist)
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11 March 2012 Hi,
i have opened a new firm in partnership with my friend.the business is in plasters and we supply labour and material.now we have to submit our bill but we havent registered for any vat no or a sales tax or service tax number.if anybody could help as i am a goner with taxation.
Thanks

CA Prashant Gupta

CA Prashant Gupta (Expert)
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11 March 2012 If your turnover is below tax limit for VAT and service tax then you dont have to register for those. you can simply provide the bills.

The limit of turnover for service tax registration is 8 lacs, while for sales tax it depends on state law.

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karan

karan (Querist)
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11 March 2012 Thanks for the answer ,however is sales tax and vat different from each other?my business is based in bombay and it involves providing both material and labour ,so what should i get ,a vat number or a service tax number?

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