chethan (Accountant ) (69 Points)
02 August 2011Dear All,
Please let me know ther service tax setoff from April 2011 onwards. Because up to march 2011 we are following by receipt basis. but from april 2011 onwards we are filling by due basis. In the Month of march 2011 input and output service tax how to set off in April 2011. Some Payments and receipts paid in the month of May 2011 but invoice is on Feb 2011. Is it ok i can set off last years in this year.Because now we are in due basis know that's the reason.
Prasad
(Sr. Manager)
(617 Points)
Replied 02 August 2011
CA Unnikrishnan Nair N
(Chartered Accountant)
(2083 Points)
Replied 03 August 2011
Input service- bill received prior to 01-04-2011, payment made after 01-04-2011, take credit after payment.
Output service - Bill raised before 01-04-2011, tax is due only on receipt of payment .
Sreejith S
(Manager-Finance)
(95 Points)
Replied 05 August 2011
For input service for they FY2010-11 what was the rule? Bill received on 1st January 2011 and payment made on 1st March 2011. In this case when should have the credit taken? on 1st Jan or 1st march
Thanks
Sreejith
chethan
(Accountant )
(69 Points)
Replied 05 August 2011
1st march as to take credit. because in 2010-2011 rules was received and payment basis not due basis. From 1/4/2011 service tax as to take due basis.
CA Unnikrishnan Nair N
(Chartered Accountant)
(2083 Points)
Replied 05 August 2011
Up to 31-03-2011 credit is admissible only upon payment of bill.
CAclubindia
