Deepak Tapse (Accounts Manager - Taxation) (1771 Points)
16 December 2015
Ajay Chandramouli
(Article Assistant )
(334 Points)
Replied 16 December 2015
Dear Deepak
It is suggested that every time you recive advance till the final Instalment claculate the service tax laibilty on advance on cum tax basis and pay it
For clear understanding if the total amount to be received for a Flat is Rs 50,00,000 + ST ( @ 14% 700000) it is Rs recviable in 2 installments then
At the time of First instalment
Bank A/c Dr 25,00,000/-
To Customer A/c 2192982 (2500000*100/114)
To ST payable A/c 307018
At the time of Second instalment - Same entry as above
At the time of recipt of servive tax Amount
Bank A/c Dr 7,00,000
To Customer A/c 7,00,000
At last
Customer A/c 50,00,000
To Sale of Flats A/c 50,00,000/-\
Hope it is clear
Deepak Tapse
(Accounts Manager - Taxation)
(1771 Points)
Replied 16 December 2015
Ajay Chandramouli
(Article Assistant )
(334 Points)
Replied 16 December 2015
Do you recongnize the amount of Demand as reciavble from Customer in the Boks of Accounts??
CAclubindia
