Hi Respected Members,
I have newly started a business; I use to take contracts from several builders, for plumbing works,
I supply only labour to some builders, but simultaneously I also supply labour with material to some other builders, I’m charging @ 10.3% service tax to those builders whom I supply only labour and simultaneously I charged 10.3% on 33% of bill amount whom I supply labour with material. (I have only one service tax no as the category of Construction service in respect of commercial or industrial building and civil structure)
For an example,
Bill No.1 bill amount Rs. 100000.00 (Only Labour Bill)
Service Tax on Rs.100000X10.3%= 10300+100000=110300.00
Bill No. 2. Bill amount Rs. 100000.00 (labour with material bill)
Service tax on. Rs. 100000X33%=33000X10.3%=3399+100000=103399.00
Total bill amount is Rs.200000.00
Service tax collected Rs.13699.00
Is this correct?
If this is correct then how do I file my ST3, Here the total bill amount is Rs.200000.00 and service tax suppose to be 20600 (according to 10.3%) or it should be 6798.00 (according to 33% X10.3% on total bill amount)
Can you please explain this in brief?
Regards
Ranjan
CAclubindia
