Rakesh Kumar (B.Com ( H ) Pursuing CA Final ) (327 Points)
05 May 2009pls let me know about the accounting treatment for service tax both as an service provider and receiver on both cash and credit basis...
Rakesh Kumar
(B.Com ( H ) Pursuing CA Final )
(327 Points)
Replied 05 May 2009
| Originally posted by :B.S. Rakesh Kumar | ||
| " | pls let me know about the accounting treatment for service tax both as an service provider and receiver on both cash and credit basis... | " |
Ravi Jagetiya(CA Final)
(Articled assistant)
(191 Points)
Replied 10 May 2009
hey service tax liability arises at the time of receiving payments from payee.
At the time you receive payments you should recognse it in accounts as liability.
Pooja Chopda
(Practising Chartered Accountant)
(931 Points)
Replied 25 May 2009
for service provider
Cash/bank/party dr
To Service tax payable
To income
For service reciever
Expense Dr
Service tax credit a/c dr
To Cash/bank/party
Bal in service tax payable a/c is to be deposited to govt on proper due dates applicable.
Bal in service tax credit a/c is adjusted off with service tax payable for the some service provided. That credit is for input service & payable is for output service.
navan
(student)
(111 Points)
Replied 27 May 2009
Pls go through the file attached.
CAclubindia
