29 August 2011
hi! all i am BBA student i have recently completed my web designing course now i want to establish online web designing store my query is about following topics
1- is it compulsory to have an office ?
2- i have Paypal verified a/c with my saving a/c is it compulsory to have current a/c with business name ? 3- i will receive payment, and give service to India and outside India also should i have to charge service tax to my clients if yes then percentage for India and outside ? and if yes then how i can get service tax no. ? and what is its charge? 4- when i receive payment from outside then i have to inform to RBI how can i inform to RBI and when at the time of audit or on every tranjection or my bank will inform them ? 5- any other guideline by RBI
6- is there any import of service tax means when i give service to outsiders then it is import of service for their`s country if yes then who will liable for that, i or my clients ?
29 August 2011
1. You do not require to have your office.
2. There is no need to open seperate account with business name if the transaction are allowed by bank in saving account only.
3.You will have to charge Service Tax to all the client in India to whom Service is provided in case your Service Value in total exceeds Rs. 10,00,000p.a. and required yourself to get registered and obatin Service Tax number if your Service Income Exceeds Rs. 9,00,000 p.a.
4.To get your amount from Client outside India in foreign currency you have to submit detail to the RBI only in case when your realisation are not within prescribed period ( i.e. 365 days for now ) from completion of rendering Services.
5.Refer RBI Master circular on Export of Goods & Services available on RBI Website.
6. in case you have provided Service to outside country you are Service Provider and hence you will have to charge Service Tax on the same and you will be only responsible for payment of service tax.
7.Any if possible than maintain seperate accounts for both Service Render outside India and within India
for any further quarry on the subject matter you can mail me on
CAclubindia
