Commission on sale

This query is : Resolved

Ritu Bangari (Querist)
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19 April 2014 Dear All,

Que. Related to service tax ( Business Auxiliary )

Eg. We give commission to Party of
Rs.28081 service tax is included(i.e.12.36%).

We deduct TDS @ 10% on Commission.Rs. 2808

Pay the rest of amount to party i.e. Rs. 25273.

I want to know how we pass entry in Tally. Are we liable to pay service Tax?
Give any Info. related to this.Any Form that should be submit to Department.

Thnx

Sandeep Dharar

Sandeep Dharar (Expert)
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19 April 2014 Yes If u r deducting ST then u must pay it to the Dept. And Y r u deducting TDS on 28081/-. It should b on gross amount exclusive of ST. And ST will also on gross amt.

Ritu Bangari

Ritu Bangari (Querist)
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19 April 2014 ST is included in Gross Amount , means Commission amount is 24992
St@12%- 2999.09
Edu Cess@2%- 59.98
Sec. Cess@1%- 29.99

Total amt is Rs. 28081

After deducting TDS @10% rs. 2808

We paid 25273/-

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Sandeep Dharar

Sandeep Dharar (Expert)
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19 April 2014 That's me saying u should exclude ST from that amount:-

That means u should deduct TDS on 24992/- n not on 28081/-.