09 July 2019
My company engaged in construction business, collect advance against flat booking and construction carry out.they registered the flat after completion of flats, sale booked against registery of flat to buyers at appropriate authority, they collect advance against issue of demand letter. At the time before introduction of GST i.e. july 2017, if he collects advance by charging service tax and receive the amount after july 2017, he collects or liable to deposit service tax or GST? Demand leter is consider as invoice or not?because this tipe of demand letter not booked in books of accounts, amount collets through this demand leter and booked as an advance in party account, consider as sale when registery is complete. Jf he collect money through demand letter after GST era, ahainst demand issued in Servics Tax era, is he collect And deposit service tax agaist those demands?
09 July 2019
So, you want to say if company raise demand letter before GST period & collect money against this demand letter in GST period, company liable to pay GST , but he collect Service Tax amount from client? so he suffer loss.
CAclubindia
