Re: [MTC Global] FW: SERVICE TAX - jst check you are paying only on service not full Bill.

Yes u r right there is only one type of service tax @ 12.03 %

Sent from BlackBerry® on Airtel

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From: Sajeev Surendranath <sajeevsdr@gmail.com>

Sender: join_mtc@googlegroups.com

Date: Tue, 30 Oct 2012 14:12:31 +0530

To: <join_mtc@googlegroups.com>

ReplyTo: join_mtc@googlegroups.com

Subject: Re: [MTC Global] FW: SERVICE TAX - jst check you are paying only on service not full Bill.

that was a very useful tip of information.  

I just have a question!  Are there different rates of service tax?  If I am correct the current rate of service tax is somewhere around 12.03% including surcharge.  

Or, are there different rates of taxes for different services.

Hope some tax experts would be able to clarify.

regards to all

Sajeev

On Tue, Oct 30, 2012 at 5:06 AM, Virendra Goel <goel.virendra@gmail.com> wrote:

 
Next time u dine out, better check the bill

                          SERVICE TAX - VERY INFORMATIVE


   About Service Tax..... how the restaurants loot your money ... Be aware


*Ramanathan Hariharan updated his status: "Surprisingly after reading about*

*the "Service Tax", I strongly decided to share this information to        *

*everyone. *

* *

*This happened at the restaurant. Let me explain.*

* *

*We had been to several restaurants recently. I observed that  "service
tax" has been mis-used and charged to the customers like you and me. *

* *

*Let me give an example. *

* *

*Food and Beverage =            Rs. 1000.00*

*Service  Charges @ 10% =    Rs.   100.00    (10% on the Food and beverage
amount) *

*Service Tax @ 4.94% =         Rs.     54.34    (4.94% on F&B + Service
Charges) *

*VAT @14.5% =                      Rs.   145.00 *

*Total =                                    Rs.
1299.34                                    *

*                                                                 *

*As per the definition - "Service Tax can be charged only for the
services provided to the customer". *

* *

*Now, see what is happening here in the above said  example. *

* *

*Service Tax should be charged only on the Service Charges amount i.e
Rs.100 and not on the entire amount (1000+100). *

* *

*In this example, the customer should be charged only Rs 4.94, whereas he
has been charged    *

*Rs. 49.00 extra. *

* *

*Where does this money go? Only the restaurant owner and the chartered
accountants who work for them know.                          *

*                           *

*砦nbsp;      So, I have started asking them the questions - and surprised to
see the  reactions from the famous restaurants. Either they say: Sir we
cannot change the format of the bill - so , we will recalculate and  tell
you the revised amount. You may pay only that. *

* *

*砦nbsp;      Sir, you do not need to pay the Service Tax amount itself.*

* *

*I now have 3 to 4 restaurant bills, for which I have paid only the service
tax - on the service charges and not on the total amount. *

* *

*Every bill must carry the TIN number and Service Tax  Number, if they
charge it. So, I ask for the Service tax number if it is  not available in
the receipt that they provide. *






*Please do share this with every one of your friends and known people. *

* *

*Ask for the right tax calculation and pay only the tax which is supposed
to be paid. Verify every bills and receipts that you make payment on.

--
MTC GLOBAL- Educate, Empower, Elevate
 
 

--
Dr S. Sajeev
Faculty Member
Institute of Management in Government
Vikas Bhavan (P.O), Trivandrum - 695 033

Kerala - India
Phone: Mobile:  +91 9446238843
             Office:  +91 471 2304608 ext. 203

--
MTC GLOBAL- Educate, Empower, Elevate