Dear Members,
Somebody mentioned to me that if a firm has revenue of 8 lakhs, then it is not required to pay service tax. Could anybody highlight the minimum revenue a firm needs to generate to pay the service tax?
Thanks for your help.
Thanks, Ratan
From India, Bangalore
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Somebody mentioned to me that if a firm has revenue of 8 lakhs, then it is not required to pay service tax. Could anybody highlight the minimum revenue a firm needs to generate to pay the service tax?
Thanks for your help.
Thanks, Ratan
From India, Bangalore
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According to the present law, the minimum turnover requirement for mandatory coverage under the Service Tax provisions is Rs. 10 lakhs. An assessee is liable to get himself or his organization registered under Service Tax as soon as his turnover reaches Rs. 9 lakhs. He has to pay the service tax once his turnover reaches Rs. 10 lakhs.
Hope this helps you.
Thanks & Regards,
Avika
From India, New Delhi
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118Hope this helps you.
Thanks & Regards,
Avika
From India, New Delhi
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Rs 10 lakh condition is for the previous financial year, which means if you are providing services worth Rs. 8.5 lakh every year, you would not be required to pay service tax for a lifetime. However, once you have crossed 10 lakh, then in the next year, you have to pay service tax for the value of 2 lakh services as well.
For details, you can email me at rahool.ramchandani@gmail.com.
From India, Chennai
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For details, you can email me at rahool.ramchandani@gmail.com.
From India, Chennai
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Service Tax.pdf