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Service Tax Payment

paresh (Executive Finance) (53 Points)

28 June 2010

Dear All,

Pls let me know if we getting receipt of rs. 11,00,000/- which is inclusive of Vat @ 8% & Service tax @ 4.12% on which amt i have to take service tax credit. on 1021512 (11,00,000*100/112.12),( 981092+40420) (40420= 981092*4.12%) or whole amt i.e. on 11,00,000/-

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7 Replies

SUCHINDRA PARE (Lawyer) (80 Points)
Replied 29 June 2010

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SUCHINDRA PARE (Lawyer) (80 Points)
Replied 29 June 2010

Dear all

can some one tell me how to delete your own posts/ reply if there is any mistakes :)

SUCHINDRA PARE (Lawyer) (80 Points)
Replied 29 June 2010

Dear sir

If the VAT and Service Tax amount is to be paid by you then

the actual amount on which the taxes are levied is 981092.8 and the amount of taxation is 118907.2
to bifurcate 118907.2 into ST amount and VAT amount we will get by calculation as 40420.5 and 78486.5 respectively...so the vat amount collected comes out to be 78486.5
so the amount of tax credit that can be taken by you in this case is only 78486.5. since the amount of service tax collected shall be paid to the service tax authorities as per the existing rates no credit on this amount(40420.5) can be taken.
service tax is payable at 981092.8 at specified rate of 10.3 percent (or any other rate subject to the service provided and the time in which it was provided). If the service tax amount collected(40420.5) by the clients falls short of the amount payable to service tax authorities than that(the difference) has to be paid out of 981092.8 only or if possible ask the client to pay the short amount of service tax to you....

Sir i think the calculation done by me is right ... kindly reply if there are any mistakes....

regards

EKALABYA TALUKDAR (SERVICE TAX CONSULTANT) (666 Points)
Replied 30 June 2010

BILL AMOUNT 9,81,092.00

VAT AMOUNT 78,487.00

Service Tax AMOUNT 40,421.00

_________________________________

TURN OVER 11,00,000.00

YOU CAN ENJOY CENVAT CREDIT ON RS 40,421.00 ONLY

EKALABYA TALUKDAR (SERVICE TAX CONSULTANT) (666 Points)
Replied 30 June 2010

Originally posted by : SUCHINDRA PARE
	Dear all can some one tell me how to delete your own posts/ reply if there is any mistakes :)

AFTER SUBMITTING YOUR THREAD, YOU WILL FIND A [Modify] TAB ON YOUR THREAD

PRESS [Modify] AND CORRECT YOUR ERROR

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SUCHINDRA PARE (Lawyer) (80 Points)
Replied 30 June 2010

Thankyou Sir...but is there any procedure to DELETE older posts....

But EKLABYA SIR the amount of service tax collected from the clients can be used only in payment of service tax and not for claiming cenvat credit...thus it is only the vat amount collected (i.e. 78486.5) that can be claimed for cenvat credit..

regards