SERVICE TAX PAYMENT QUERY

vidya shetty (senior accountant) (105 Points)

31 August 2010  

I have a query on Service tax.

Suppose the Bill amount before service tax is Rs. 100000/- Service tax is Rs.10300/- so total bill amount is Rs.110300

Suppose the TDS on this Bill is 1% which is equal to 1103  then the Total Amount receivable will be 110300-1103 ie. rs. 109197/-

Now when the amount of Rs 109197 is received what is the service tax payable ???

Whether it is Rs.10300 OR Rs 10197 (109197/110.3*10.3)

Can anybody please let me know

thanks in advance