Recording Service Tax Transactions

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All the services sold can be recorded in Sales Voucher (Account Invoice Mode) or Journal Voucher.

Sales - Taxable Services

Example: On 5-7-2012 ABC Company sold event Management Services to CreativeIn Ad Agency for Rs.55,000 on which service tax is charged @ 12.36%

Go to Gateway of Tally > Accounting Vouchers > F8: Sales

  1. In Accounting Voucher Creation screen, press Alt+I or click on I :Account Invoice if the voucher is in Item invoice mode

  2. Press F2 and change the date to 05-07-2012

  3. In Party’s A/c Name field select the service receiver e.g. CreativeIn Ad Agency

  4. Under Particulars select the Service (sales) Ledger e.g. Advertising Services and press enter to view Service Tax Details screen

  5. In Service Tax Details screen

Note: If the Reference no. is mentioned in the Ref. field, then Tally.ERP 9 captures reference number instead of voucher number in Number displayed in Name field.

Note: In Type of Service field

 

1. Exempt is defaulted for the Type of Classification Exempt

2. Export is defaulted for the Type of Classification Export

3. Negative List can be selected if the service provided is included under   
Negative List.

3. Pure Agent is defaulted for the Type of Classification Pure Agent

4. Taxable is defaulted for the Type of Classification set to Not Applicable

 

The default Type of service can be overridden. Press Back Space key to move to Type of Service field and select the applicable Type of service. The type of service selected in the voucher entry will determine the Type of service.

Note: To override the default service category press F12: Configure and set the option Allow to override Service Category during entry to Yes.

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  1. In Amount filed the Service Amount of Rs.55,000 will be defaulted automatically.

  2. Under Particulars select service  tax ledger e.g. Service Tax @ 12%. Service Tax amount will be calculated and displayed automatically.

  3. Under Particulars select education cess ledger e.g. Education Cess @ 2%. Education Cess amount will be calculated and displayed automatically.

  4. Under Particulars select secondary education cess ledger e.g. Secondary Education Cess @ 1%. secondary Education Cess amount will be calculated and displayed automatically.

  5. Enter the bill details in Bill-wise Details screen.

The completed service sales voucher is displayed as shown:

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  1. Press enter to accept the voucher.

Sale - Negative List Services

Example: On 10-7-2012 ABC Company sold Education Services to Shobha education Trust for Rs.1,20,000.

Education Services are included in Negative List and is not subject to tax.

 To record Sales Transaction,

Go to Gateway of Tally > Accounting Vouchers > F8: Sales

  1. In Accounting Voucher Creation screen, press Alt+I or click on I :Account Invoice if the voucher is in Item invoice mode

  2. Press F2 and change the date to 10-07-2012

  3. In Party’s A/c Name field select the service receiver e.g. Shobha Education Trust

  4. Under Particulars select the Service (sales) Ledger e.g. Education Services and press enter to view Service Tax Details screen

  5. In Service Tax Details screen

Note: To override the default service category press F12: Configure and set the option Allow to override Service Category during entry to Yes.

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  1. In Amount filed the Service Amount of Rs.1,20,000 will be defaulted automatically.

  2.  Enter the bill details in Bill-wise Details screen.

The completed service sales voucher is displayed as shown:

Transactions-4.gif

  1. Press enter to accept the voucher.

Sales - Exempt Services

Example: On 12-7-2012 ABC Company sold Health Care Services to City Municipality for Rs.10,00,000.

To record Sales Transaction,

Go to Gateway of Tally > Accounting Vouchers > F8: Sales

  1. In Accounting Voucher Creation screen, press Alt+I or click on I :Account Invoice if the voucher is in Item invoice mode

  2. Press F2 and change the date to 12-07-2012

  3. In Party’s A/c Name field select the service receiver e.g. City Municipality

  4. Under Particulars select the Service (sales) Ledger e.g. Health Care Services and press enter to view Service Tax Details screen

  5. In Service Tax Details screen

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  1. In Amount filed the Service Amount of Rs.10,00,000 will be defaulted automatically.

  2. Enter the bill details in Bill-wise Details screen.

The completed service Sales Voucher is displayed as shown:

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  1. Press Enter to Accept the Voucher.

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