We are the Pvt Ltd Company and in FY 2017-18 the company takes opinion from advocate. Advocate send the BIll for Rs.40000/- and we deduct TDS Rs.4000/- balance pay to advocate. The advocate send the bill Rs.40000/- without service Tax. Now my query is we are liable for payment of service tax & what is the rate of Service tax on advocate fees & also advice Service tax return Q1 of FY 2017-18.
Please provide your valuable suggestion in above matters.
06 June 2017
When services received from Advocate then RCM will be applicable. So in this case company is liable to pay ST @ 15%
Company has to deposit tax by 6 of the next month
need to file return half yearly
06 June 2017
Service tax Applicable under RCM@ 15% , other than Company payment to be paid quarterly by 6th of July for company 6 th of subsequent month.
Cenvat credit: If business entity pays service tax under reverse charge, it can take cenvat credit for it and utilize it for payment of service tax and excise.
26 June 2017
Service tax is applicable as per reverse charge mechanism. Company has to pay ST @ 15% in the next month by 6th day online.
For Q1 ST return date is 15 August 2017. Instead of half year Quarterly return is required to file due to application of GST
CAclubindia
