My query is whether ST exemption of 10 lakh is applied on Domestic sale or Domestic and export combined?. Ours being a Export oriented unit, but This FY, we started small scale doemstic sales ( category IT/ Computer Software related Service). our Domestic sales is around 3.5 lakh until today and export over 2.3 crores. Are we exempted from paying ST? Thanks in Advance.
01 March 2011
Export turn over will not be added to the domestic turn over for the purpose of Rs. 10 Lakh Exemption. So, till your donestic turn over excluding Service TAx crosses Rs. 10 Lakh, you need not pay any tax for the current financial year.
CAclubindia
