Services Tax on Professional Fees

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NK1976

NK1976 (Querist)
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21 January 2011 What is the limit in Financial Year 2010-11

for Chartered Accountant. suppose I receipt

fee for Rs. 10 lacs and above can I pay the

service tax on excess of 10 Lacs.

Thanks & regards

Aditya Maheshwari

Aditya Maheshwari (Expert)
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21 January 2011 Limit for service tax is Rs. 10 lakhs. If last year you have not crossed the threshold then you can claim exemption of Rs. 10 lakhs for payment of service tax, i. e. if in F. Y. 2009 - 10 u receipt was say Rs. 600,000/- and in this year it is Rs. 1,200,000/- then in current F. Y. 2010 - 11 you need to pay service tax on Rs. 200,000/- only.