Bill without mention of service tax

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ancy

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94 Points Posted on 30 June 2016

The advocate(service provider) has not mentioned amount of service tax on the bill. Whether there is any rule specifying compulsion to mention s.t. as the reverse charge mechanism is applicable

Also, can the service receiver make any attempt on his part to ensure that ST amount is being maintained.

Also, whether in such cases, the total amount is to be considered inclusive of service tax. Or is the 50% ST under service charge is payable from pocket of service receiver. to explain, i am giving my query below

Total bill amount is Rs. 25000/-(ST not mentioned). Whether the service receiver should pay Rs. 25000/- and deposit ST under reverse charge to govt seperately. Or he should pay Rs. (25000- reverse charge ST)

Replies (2)

CA Saurabh Singh

Practising Chartered

974 Points Posted on 01 July 2016

If any body corporate receives bill from a advocate in regards to taxaxble services, then the receiver shall pay entire service tax under 100% reverse charge mechanism, however if the advocate doesnot mention the same in the invoice it shall be taken inclusive and the service tax shall be paid accordingly by the reciver.

Vishal Goel

Chartered Accountant

1693 Points Posted on 15 July 2016

If you are body corporate & service provided by individual advocate or a farm of advocates then service tax shall be paid by service recipient..

Total bill amount is Rs. 25000/-(ST not mentioned). Service receiver should pay Rs. 25000/- and deposit ST (25000*15% = Rs.3750/-) under reverse charge to govt separately.