If Transporter charge service tax on his bill, then on which amount service tax to be charge.
Example : Transporter bill amount Rs. 1000/- then he will be charge on 12.36 of 25% or directly on Rs. 1000/-
Lalit Sangani (M.Com. Asst. Manager Account) (736 Points)
05 May 2012If Transporter charge service tax on his bill, then on which amount service tax to be charge.
Example : Transporter bill amount Rs. 1000/- then he will be charge on 12.36 of 25% or directly on Rs. 1000/-
Abhishek Sharma
(CA Final)
(78 Points)
Replied 11 May 2012
Yes, it will be on 25% of the transporting bill. Since 75% abatment is allowed as for expenditure so only 25% consists of service. Accordingly charge service tax @ 12.36% on (25% of Bill)