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what are the procedures of paying service tax and vat?
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Answer Posted / ravi
service tax will be paying by all the service providers by
collecting the service tax for whom we had been offered the
service and remmit it to the govt as the service tax is not
paying directly by the service provider as we discussed in
above example it's an indirect tax
rates - 12.36% 12% is service tax. .36% is e.d cess
vat - meas value added tax is leivied at every point of sale
which has come in to force from 2005 to under stand
this concept we should know abbout input output
input - taxpaid on puchases
output - tax paid on sales
in put credit - the tax which was paid at the time of
purchase will be deducted from
the tax he need to pay at the
time of sales
VAT PAYABLE - OUT PUT - IN PUT
RATES - 1%, 4%, 12.5% EXCEMPTED, ZERO RATED
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