19 August 2010
Dear All, While i providing a credit note to my debtors to the non serviceable period ,is it compulsory to pay the service tax of the whole amount with out considering the credit note:- Eg.Sevice Bill for Advt.Service for 2 Months 10000 ST 10.30% =1030 =11030 but after end of the 1st month we are not able of provide the service to the second month Then we raised a credit note for Rs.5000 + 515 ) =5515
After that i received 5515 for the first month,Is it necessary to pay service tax for Rs.10000 Awaiting your reply & any suit in favour this credit note
20 August 2010
No its not necessary to pay the service tax for the amount which is not received.Service Tax is always payable on the amount actually received.
CAclubindia
