10 September 2009
dear sir, my query based on service tax when i earn income from project what amount to give service tax for example i earn 500000 so i give 500000*30%*10.3% this is right step or not if not what calculation pl example to me and journal entry
10 September 2009
upto Rs.10 lakhs you can claim small service provider exemption subject to other condition. service tax rate is 10% plus 3% on such ST as cess. eg. gross value is 15,00,000 ST 10 % 1,50,000 cess (2+1)% on 1.5 lakha 4,500 The amount is considered as gross amount.If transfer of goods is involved in 15 lakha (suppose) we have to consider VAT aspect also.
10 September 2009
dear sir u not understand my query i ask u i work in trust co. and he earn income form project and i thing paid service tax on this based 70% is cogs and 30% service than after cal. on 30 % *10.3% this is right cal. or not
10 September 2009
If the services provided is 'works contract services' covered under section 65(105)(zzzza) of The Finance act,1994, u have two options to adopt the service tax rates. 1) @ 10.3% on the value of taxable services determined under rule 2A of the Service tax (determination of value rules) 2006 or 2) @ 4.12% on the entire value of works contract services received. This is based on rule 3 of Works Contract(Composition scheme for payment of service tax) Rules, 2007.
12 September 2009
dear b.warrier thanks for reply i understand u but sir i work in trsut co. and he works for crs means commuity radio station and he earn income from project as installment basis for example, he earn 5lkhs then i give 50000(approx) paid tax this is not right but i confuse that if u doing a project 70% its cost of goods and 30% is service than i give 30%*10.3% for example i earn 100000 then 70% 70000 is cost of goods+30% 30000 and then 30000*10.3%=3000 aprrox thus its right or wrong and give to example to me or to contact me my no 9873656778
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