07 August 2008
Dear All, I m working with PSU which is a Service providing Co. As per ST act assessee is liable to discharge the ST liability when receive the amount from Customer for which service has provided. In some of cases we set off the amount from sister concerns or issues a Credit Note. My query is that whether setoff amoutn or credit note amount is amounts to discharge the liability or not. Example:- 22.05.08 AB Co. Dr. To Income To Ser. Tax Payable amount Received on 16.6.08 16.6.08 Bank Dr. To AB Co. in this case ST payable Liability will be discharged till 05.07.08
QUERY
(1)If we have not received amount but we have issued credit note : whether it amounts to payment received or not
(2) If we have adjust the amount from its sister concern ABC & Co. :-whether it amounts to payment received or not
(3)If we adjusts deom Security Deposit:-whether it amounts to payment received or not
CAclubindia
