How to calculate Service tax when TDS deducted
This query is : Resolved
31 March 2009
Please guide me how to calculate Service tax liability.
We have raised bills to our one of the customer. They give on account payment against our various bills during the year & at the year end i.e. 31st march, they debit our account for TDS. We comes to know TDS amount only in the month of April OR May when we reconcile ledger with them.
Shall I pay service tax only on Cheque amount & ignore service tax on TDS deducted & debited to our Account.
We have raised bills to our one of the customer. They give on account payment against our various bills during the year & at the year end i.e. 31st march, they debit our account for TDS. We comes to know TDS amount only in the month of April OR May when we reconcile ledger with them.
Shall I pay service tax only on Cheque amount & ignore service tax on TDS deducted & debited to our Account.
31 March 2009
Absolutely incorrect to deduct TDS from the taxable amount.
Service tax is payable on the gross amount charged to the client.
The TDS deducted is not to be construed as payment not received as you shall be served with the TDS certificate.
Therefore service tax payable on amount of invoice raised by you i.e. payment received plus the TDS deducted.
Service tax is payable on the gross amount charged to the client.
The TDS deducted is not to be construed as payment not received as you shall be served with the TDS certificate.
Therefore service tax payable on amount of invoice raised by you i.e. payment received plus the TDS deducted.
02 April 2009
Please also guide me as I don't know how much TDS deducted by party. I comes to know TDS amount only after 31st March, than how to calculate service tax.
03 April 2009
In my view the TDS deducted is presumably paid to the central government and should be considered as a payment made to you albeit indirectly.
In the event that at the time of receipt you are not aware whether TDS has been deducted / what amount then it would be open to pay the ST on the amount received ( worked out backwards) and when the informatioin is received then pay the addtional ST. This may or may not be accepted by department however.
In the event that at the time of receipt you are not aware whether TDS has been deducted / what amount then it would be open to pay the ST on the amount received ( worked out backwards) and when the informatioin is received then pay the addtional ST. This may or may not be accepted by department however.
04 April 2009
Thank you very much.
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now
Click here to login now
Similar Resolved Queries
Unanswered Queries
- Manual Rectification through AO
- IT Return filed defective u/s 139 (9)
- Fixed Deposit Claim Relinquishment by the Nominee
- ITR 6 Schedule CFL and UD Issues
- FREELANCING ACCOUNTANT
- Income Type for interest from government bonds
- Not a CA , can we prepare balance sheet
- TCS ON SOFTWARE SALES
- TDS RATE ON RENT PAID TO NRI
- Gstr 9 2023-24
- PAYMENT TO OPEN AI AND ENVATO ELEMENT
- From 15CA for remittance by domestic travel agent by to Foreign Destination Management Company.
- Issue of gst e invoice
- Interchangeable words in accounts
- Adjusted profit/Loss in the case of LLP and Pvt. Ltd.company
- How to adjusted advances given or receipt
- Foreign vendor without PAN unable to to register due to non receipt of OTP on foreign number ?
- 133(6) DIN INVALID format error - ->WHERE TO REPLY 133(6) notice?
- Query for dubts
- Regarding Resignation by Auditor from Pvt. Ltd.
Trending Online Classes
CAclubindia
