Easy Office
LCI Learning

Service tax on provision for exp

This query is : Resolved 

20 January 2014 Dear All,

Please tell me, whether service tax need to be deducted on provision made for exp.
Our company is receiving services from a foreign company for maintain server and other Technical services. we are making a provision for the exp every month. and we are paying Service tax on RCM basis. and after receiving the actual invoice in next month, we reverse the provision and book the actual exp. Now, my question is whether ST is applicable on provision for expenses or not?

Thanks in advance for replies.

20 January 2014 Hi

No on booking of Exp prov. no ST to be paid however on advance payment made if any ST to be paid as pert POT rules.

Thanks



You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now

CAclubindia's WhatsApp Groups Link


Similar Resolved Queries


loading


Unanswered Queries