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Service tax query

shivam garg (garh) (25 Points)

22 February 2014

SERVICE TAX: Hi frnds please solve my query relatin to service tax.. R is a service provider, he provides service of worth rs. 10000 /- and he charges 1236 /- as service tax. Due to individual he pay tax on 6th of july...on 31 march he came to know that his total taxable service provided rs. 9 lakh he claims exemption of small service provider.. Now what will be treatment of rs 1236 whether govt. refund it and same he refund to customer or not...what will be correct treatment please answer..,

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8 Replies

CA Shraddha Vora (Teamhead) (149 Points)
Replied 22 February 2014

On account of Section 73(A) service tax charged from the customer where the same was not required to be collected must be deposited to the Government.

Further, service tax Small service provider notification no 33/2012 provides that once the assessee has chosen the option of not availing the baisc exemption, he cannot reverse such option. Thus, the amount once charged, must be charged for teh entire year and paid to teh Governement.

Further, where a person's turnover does not exceed R.s 9 lakh, he is not required to take registration, unless service is under reverse charge. Accordingly, the assessee could have avoided the whole situation by not taking registration in teh first place.

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Padmavathi (Manager - Corporate Affairs) (21 Points)
Replied 05 January 2015

Hi,

my company has a service tax registration no. Em002. During the month of October while making the service tax payment through net banking the registration code was wrongly mentioned as em001. (With other digits and letters kept same)This code also was allotted to our company only as it shows in the departments website when searched online. The amount of payment is appr Rs.63 lacs. Now department claims that the payment is not credited to your account. We submitted a reply stating that the amount which is credited to the other account may kindly be appropriated to our account. Because the other registration no. Also shows our company name only. Now they have given one reply stating that they do not have any mechanism to appropriate and we have to pay the pending amt and take refund of what is paid to wrong account. Can any one pls advise about the provisions pertaining the same. How can such huge amt be additionally arranged. Pls throw light on the Same.

KSantosh (Accountant) (21 Points)
Replied 28 April 2015

SERVICE TAX: Hi friends please solve my query relating to service tax. we have in to hotel business and we provide laundry service along with Room Rent, Restaurant, Bar & Room Services to guest and charge abeted S.Tax rate now department is telling that on Laundry charges have to pay full rate i.e. 12.36%. we have bill this charges in Room rent bill in separate line please advise.

Vijay (21 Points)
Replied 27 September 2015

Hello!

I am a commission agent and pay service tax on regular basis.

Can I get/claim rebate for service tax that I pay for my utility bills and service tax that I might pay for buying of club membership etc?

Madhukar N Hiregange (Chartered Accountant) (39034 Points)
Replied 27 September 2015

The input tax credit defintion + the cenvat credit rules need tobe read and understood. The credits if eligible used for provding taxable services are eligible. Personal exenses not eligible. Refer to some brief commentary.

Example- Mobile bill ST available to extent used for earning commission. Say 90% used for business, then you can take 90%.

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Anuradha Jain (7 Points)
Replied 05 February 2016

our company sells product on which service tax and excise duty is not charged but on the sale invoice we charge shipping charges also on which we charge service tax. shippping charges recovery is almost 3% of total revenue

can somone pls help me on how to claim cenvat input tax credit. shipping cost/bill is separately identifablle which we recover. can we take 100% cenvat input credit on shipping/courier bills against servicw tax payable on shipping recovery amount.

Anuradha Jain (7 Points)
Replied 05 February 2016

HITESH NANDLAL GEHIJA (ARTICLE STUDENT) (21 Points)
Replied 22 April 2016

Hi all Kindly guide in this matter:

If M/s. XYZ Pvt Ltd. Is an registered service provider of builder n developers engaged in construction of Residential Complex, has availed services of one individual labour contractor for construction of residential buildings and charges for such work is paid on per sq. Ft. Basis.

Whether such services will be termed as manpower services and service recipient will b liable for Payment in reverse charge

Thanks in advance