Dear All,
as you people know wef july 2012, service tax payment is revised i.e, 25% paid by the service provider and 75% service receiver (In case of man power recruitment agency) please let me know how to calcualte service tax
From India, Bangalore
2as you people know wef july 2012, service tax payment is revised i.e, 25% paid by the service provider and 75% service receiver (In case of man power recruitment agency) please let me know how to calcualte service tax
From India, Bangalore
In relation to the recent amendments in Service Tax, with effect
from 1/7/12, (amendment attached)
75% of the Service Tax amount shall be paid by the company and
the balance 25% shall be paid by the Service Provider. This is
applicable, to cases where the Service Provider is a Proprietor or
a Partnership firm. Not applicable to Pvt. Ltd.
If the service provider of manpower service is a proprietorship/partnership concern, then 25% of the Service tax will be levied by them in their bill and the balance 75% of the Service tax shall be paid by the service receiver.
(eg) Manpower service for July 12 - 1,00,000
Service Tax @ 12.36% * 25% - 3,090
----------------
total - 1,03,090
-----------------
The service receiver shall get themselves registered with Service Tax and shall pay 12.36% * 75% of Rs. 100,000/- = Rs. 9,270/-
Regards
Kennady
Consultant - Labour Laws
Chennai
From India, Madras
from 1/7/12, (amendment attached)
75% of the Service Tax amount shall be paid by the company and
the balance 25% shall be paid by the Service Provider. This is
applicable, to cases where the Service Provider is a Proprietor or
a Partnership firm. Not applicable to Pvt. Ltd.
If the service provider of manpower service is a proprietorship/partnership concern, then 25% of the Service tax will be levied by them in their bill and the balance 75% of the Service tax shall be paid by the service receiver.
(eg) Manpower service for July 12 - 1,00,000
Service Tax @ 12.36% * 25% - 3,090
----------------
total - 1,03,090
-----------------
The service receiver shall get themselves registered with Service Tax and shall pay 12.36% * 75% of Rs. 100,000/- = Rs. 9,270/-
Regards
Kennady
Consultant - Labour Laws
Chennai
From India, Madras
Dear Kennady and Jeevaratnam, thanks for your revert. i think, so many vendor or clients don’t know regarding this. this topic will help them to know about revision in Service tax.
From India, Bangalore
From India, Bangalore
hi i am chandra shekar i want to clarify that is there any Form No.60 under EPF act ( employee not willing to cover under EPF) if it is there pl forward the form
From India, Hyderabad
From India, Hyderabad
1.One clarification regarding service tax. Since I was not aware of the 25% and 75% components, I have charged full rate 12.35% service tax as a service provider. Now what should be done. Should I deposit all service tax deducted to govt ?
2. One more clarification required. If my client is ready to pay full tax 12.36% then i should still charge 25% or can charge full tax on bill.
3.My last question. I have registered my firm with service tax on 6th July 13, then should I deposit service tax deducted in the month of june. what about of bills on which service
From India
2. One more clarification required. If my client is ready to pay full tax 12.36% then i should still charge 25% or can charge full tax on bill.
3.My last question. I have registered my firm with service tax on 6th July 13, then should I deposit service tax deducted in the month of june. what about of bills on which service
From India
As far as we know the service tax from 12.36% has come down to 3.09%
For the sake of argument, lets presume your calculations are correct... so out of Rs 100,000
12.36% will be 12,360 out of which 75% is to be paid by the client = Rs 9270 and the balance
25% by the service provider = Rs 3090 this makes it a total of Rs 12,360 out of Rs 100,000
But service providers who supply Security Guards have another say... like the way the client
pays the service providers share of the PF and ESI so also do they want the client to pay thei
25% of the service charges....is this correct?
From India, Bangalore
For the sake of argument, lets presume your calculations are correct... so out of Rs 100,000
12.36% will be 12,360 out of which 75% is to be paid by the client = Rs 9270 and the balance
25% by the service provider = Rs 3090 this makes it a total of Rs 12,360 out of Rs 100,000
But service providers who supply Security Guards have another say... like the way the client
pays the service providers share of the PF and ESI so also do they want the client to pay thei
25% of the service charges....is this correct?
From India, Bangalore
I have before me a document form the Government of India, Ministry of Finance, (Department of Revenue)
Notification No. 30/2012-Service Tax date New Delhi the 20th June 2012 so where did you get the date as
from July 01, 2012 everything seems a confusion there are 10 different description of services so why this
confusion of publishing a wrong date?
From India, Bangalore
HI, I have a doubt. Do I have to collect 25% of 12.36 % from client or I have to pay that to government from my pocket ? Please clarify.
From India, Madras
From India, Madras
You have to collect it from your Client and then deposit that amount to the government,
For e.g.
If you are providing services worth Rs.1000 then total service tax as per current rate will be Rs.140 of which Rs.105 will be paid by Service Receiver - Corporate client and you will get total amount Rs. 1000 + 35 = 1035 , now you have to pay Rs.35 to Government as Service Tax,
i hope you have cleared now...
For any query you can contact...
+91 9405500892
From India, Chennai
For e.g.
If you are providing services worth Rs.1000 then total service tax as per current rate will be Rs.140 of which Rs.105 will be paid by Service Receiver - Corporate client and you will get total amount Rs. 1000 + 35 = 1035 , now you have to pay Rs.35 to Government as Service Tax,
i hope you have cleared now...
For any query you can contact...
+91 9405500892
From India, Chennai
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Form - PW Service- MAY09(REVISED). xls
Service Tax.pdf