Ad-Free CAclubindia and Daily Updates on your mobile. Subscribe Now!

Can VAT & Service Tax be in Same Invoice?

Sathish Kumar (Branch Accountant - Bangalore) (27 Points)

29 September 2010

Hi All,

Can we charges VAT & Service tax in the same invoice ?

ex - We sell VAT commodity goods to customer RS.5000.00 and charging Agency Charges 1000/- for fixing and Transportation/Freight 1000.00 in this case can we charge VAT on Rs. 5000/ and ST on Rs.2000.00 in the same Invoice.

Please clarify the same.

Reply
Follow
Share

6 Replies

(Guest)

YES Dear

You can charges VAT & Service tax in the same invoice???

Upgrade to CAclubindia Pro. Subscribe Now!

Harsha (Chartered Accountant CS (Final)) (227 Points)
Replied 30 September 2010

Yes, you can charge VAT &Service TAx on the same invoice. Mention both ST Reg no. & TIN no. on the Invoice. Please charge ST only on Agency charges, for freight don't charge

Sathish Kumar (Branch Accountant - Bangalore) (27 Points)
Replied 30 September 2010

Hi Harsha,

Why we should not charge ST on Transportation/Freight as it is not actual reimbursement it carries profit .

Can we include Transporation/Freight on assessable Value of commodity and charge Karnataka VAT ?

periasamy (DGM Finance) (91 Points)
Replied 20 October 2010

First of all the vat is calculated for all added items in a sale invoice including freight and service charges etc. It is better to raise seperate invoice for service charges alone (not freight) and you can get vat benefit to that extend.

regrds

S Periasamy