Go AD-Free with CAclubindia Pro and Daily WhatsApp Updates. Subscribe Now!

Service tax charge & registration

Others 545 views 1 replies

Ranjeet

MBA

24 Points Joined February 2013

Hello Everyone,

I need your little assistance, i am starting a placement consultancy just want to clarify that should i go for service tax registration on the start or should wait for the time when the total bill amount bill be near to 8-9 lac.

Another question is that if a person has not taken any ST Registration, he will charge for the services provided or not.

and n case if taken ST Registration No on the start of placement consultancy, should start charging service tax or should wait for total bill amount to be 9 lac

Replies (1)

Guest

DEAR RANJEET,

IN MY OPINION,

ON START OF YOUR PLACEMENT CONSULTANCY, YOU DO NOT NEED TO REGISTER YOURSELF UNDER SERVICE TAX. AND WAIT TILL RS. 9 LACS.

AND IF YOU ARE NOT REGISTERED ONE UNDER SERVICE TAX, THEN YU CAN NOT COLLECT SERVICE TAX FROM YOUR CLIENT, SINCE YUR CONSULTANCY BILL/INVOICE WITH SERVICE TAX REQUIRE SERVICE TAX REGISTRATION NUMBER . I.E. YOU CAN NOT CHARGE SERVICE TAX WITHOUT BEING REGISETERED FIRST.

ONCE YOU REGISTERED UNDER SERVICE TAX ACT, YOU SHALL BE LIABLE TO CHARGE SERVICE TAX EVEN IF YU PROVIDE SERVICE OF RS.1/-