Threshold limit under service tax???

last years turnover would not be counted in calculation of service tax for the year, hence the current year turnover only is to be taken.

Originally posted by : U S Sharma
	last years turnover would not be counted in calculation of service tax for the year, hence the current year turnover only is to be taken.

agreed..........

Here i am not agreed, becouse the law says receipt in current years of which service provided in last year shall be added to compute the threshold limit in current year.. But When threshold limit is crosses then it will apply in all subsequent years...

Dear

Current year total turn over will be considered or issuance of total invoice or againt invoice, realized amount will be considered.

Regards

Ajay Garg

agreee with mr sharma

The exemption is available upto 10 lakhs when the previous year taxable services does not exceed 10 lakhs.

In this case clearly less and therefore available. When the same money is recived there cannot be any tax since it was exempted. Consequentl;y only the services provided and amounts recived upto 1.7.2011 + billing/ completion after that date would be totalled. If this does not exceed Rs. 10 Lakhs there is no liability. Advisable to register when you reach 9 lakhs and start billing the ST once the ST number is allotted.