Taxaable value of srevice

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

17 December 2011 Hi..All

I m newly registered with the service tax authority..
MY total receipt from service have reached to Rs850000/- in first half and i have to raise a new bill of Rs160000/- in coming period...
so i want to know the taxable value of service with some clarification..
whether to pay service tax on Rs 160000/- or Rs 1010000/- or Rs 10000/-.
Please help...

Thanks in advance...

CA. ATIN HARBHAJANKA

CA. ATIN HARBHAJANKA (Expert)
Follow

17 December 2011 your taxable value of service is 10000.
Your are covered under small service provider(SSP). SSP means whose taxable value of service does not exceed 10 lakhs in preceding year. SSI is getting exemption from ST of 10 lakhs in current year if its value of taxable service not exceed 10 lakhs in preceding year or in current year. hence you have to pay tax on 10 lakhs.

Abhishek Ranjan Singh

Abhishek Ranjan Singh (Expert)
Follow

17 December 2011 @ ATIN it is 10 Thousands not 10 Lakhs as you written by mistake.
you have to charge Service tax on 10 thousand only in bill to party also.

Abhishek Ranjan Singh
ARS Solutions
email2ars@gmail.com
+91 9022838615

Upgrade to CAclubindia Pro. Subscribe Now!

CA VISHAL RANA,CS,B.Com,AMFI

CA VISHAL RANA,CS,B.Com,AMFI (Expert)
Follow

17 December 2011 yes you can avail exemption of small service provider Rs. 10000 chargeable to service tax but next year you can't avail exemption limit as SSP.

Querist : Anonymous

Querist : Anonymous (Querist)

19 December 2011 Hi All,,,
Thanks for your reply,

and giving time to my Query..

Wishing you all a Very happy coming Year

Abhishek Ranjan Singh

Abhishek Ranjan Singh (Expert)
Follow

19 December 2011 Welcome, you can USE THANK User option also for it.