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Service tax

Namrata Bhatt (Article assistant) (32 Points)

23 January 2014

if amount of service is 10000

and tds is @ 1%=100

so on which amount s.tax is chargeable? whether on 10000 or 9900?

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6 Replies

Karthik Bhaktha (CA-Student) (126 Points)
Replied 23 January 2014

TDS deducted is only for the record of the govt that you have made such Transactions.

TDS will be refunded with your filling

ST will be Charged on the full Amt that is 10,000*12.36%=Rs.1236

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shubham (student) (238 Points)
Replied 23 January 2014

service tax is always charged on gross value and not on net value. so tds on 10000.

CA Vikas Garg (Own Business) (453 Points)
Replied 23 January 2014

Dear

If it is profeesional fees

Service tax charge on ( Rs10000+100)*12.36 but as per new circular comes befor 1 week Service tax will be charge on only Service value i.e. ( Rs 10000)*12.36.

GANESH DATTATRAYA JOSHI (ACCOUNTANT) (71 Points)
Replied 23 January 2014

Dear Service tax will be charge on Rs 10000/- and tds will be deducted and tds will be deducted on inclusive of service tax.

Vikas Jain (Student) (80 Points)
Replied 24 January 2014

Basically, Service Tax is shown on Invoice and given by Service Provider. It is responsibility of Service Recepient to make TDS. Right... So, SR will deduct TDS on 10,000+1236:11236 ( if new circular is silent ). 194C envisages that TDS to be deducted only if contract charges exceeds Rs.30,000. So, SR is relieved from TDS.