09 January 2009
A proprietorship firm providing entertainment services raised 4 bills for fee aggregating rs. 20 lacs and service tax thereon rs. 2.5 lacs (approx.) in F.Y.07-08.Entire 22.5 lacs was realized in F.Y.2007-08 itself. It credited rs. 20 lacs to profit & loss account and showed service tax rs. 2.5 lacs payable on liability side of balance sheet.It failed to pay service tax liability till filing of Income tax return due date i.e. 30th Sept. 2008. my query is Since service tax is not routed through profit & loss account of the firm ,is the outstanding service tax amount (which is realized but unpaid till return due date )is liable to be added to taxable income u/s 43B.if yes, under what proviso ?
19 January 2009
Than why SALES TAX WHICH APPEARS AS LIABILITY IN BALANCE SHEET AND NOT ROUTED THROUGH PROFIT & LOSS WHEN PAID; IS ADDED TO TAXABLE INCOME ( IF NOT PAID TILL RETURN DATE).IN OTHER WORDS WE CREDIT SALES TAX WHILE MAKING SALES AND WHILE DEPOSITING ,WE DEBIT SALES TAX PAYABLE .HOWEVER IF SALES TAX REMAINS UNPAID TILL RETURN FILING ,WE ADD SALES TAX TO TAXBLE INCOME . WHY ? PLEASE CLARIFY.
21 January 2009
Mr. chackrapani will u plz supply me the CASE DETAILS/DIGEST of ACIT Vs. REAL IMAGE TECHNOLOGOIES P LTD. 9 DTR 261 (ITAT CHENNAI )MY E-MAIL ID IS surindar33@gmail.com .THANKING YOU
CAclubindia
