Currently Service Providers do not get Input of Vat
as Service tax is under Central Government and Vat under State Government

Example

Expenses

VODAFONE   Purchase from Y Ltd  
Internet Bill 2000 Office Stationary 800
Add      
Service Tax @ 14% 280 Add  
Swachh Bharat Cess @ 0.5% 10 Vat 5% 40
Krishi Kalyan Cess @ 0.5% 10    
Total 2300 Total 840

Service Provided

Service to X Ltd  
Consultancy Service 20000
Add  
Service Tax @ 14% 2800
Swachh Bharat Cess @ 0.5% 100
Krishi Kalyan Cess @ 0.5% 100
Total 23000

Make Service Tax Computation

Partoculars Service Tax Swachh Bharat Cess Krishi Kalyan Cess Total
Output Service Tax 2800 100 100 3000
Input Service Tax 280 0 10 290
Service Tax Payable 2520 100 90 2710

After implementation of GST,input on these can be taken

VODAFONE Purchase from Y Ltd  
INTERNET 2000 Office Stationary 800
CENTRAL GST 12.5% 250 CENTRAL GST 12.5% 100
STATE GST 5% 100 STATE GST 5% 40
Total 2350 Total 940
       
Service to X Ltd  
Consultancy Service 20000
CENTRAL GST 12.5% 2500
STATE GST 5% 1000
Total 23500
PARTICULARS CENTRAL GST STATE GST TOTAL GST
OUTPUT GST 2500 1000 3500
LESS      
INPUT GST 350 140 490
GST PAYABLE 2150 860 3010

 

  1. GST - Goods and Services Tax, India
  2. GST Impact
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About the Author

CA Maninder Singh's photo - Expert in Practical Accounts, Taxation and Efiling
CA Maninder Singh
CA Maninder Singh is a Chartered Accountant for the past 6 years. He provides courses for Practical Accounts, Taxation and Efiling at teachoo.com .
  • mehul desai's image
    मे Lpg गेस डीलर हूँ मेरे पास सिलिँदेर्स देलेवेरी करने हेतु डेलेवेरि मॅन रखे हे वो ग्राहक के यहाँ जाके ग्राहक के नाम का बिल देके डिलेवेरि करते हे मे उनको प्रति cyl डेलेवेरि चार्ज देता हूँ ओर वो चार्ज ऑन अकाउंट्स बुक खर्च मे लेता हूँ तो gst मे मुजे डेलेवेरि चार्ज पे रिवर्स चार्ज लगाना हे या नहीँ ओर gst रिवर्स चार्ज लगाना हे तो कीतना %लगाना हे ओर वो रिवर्स चार्ज मुजे वापस input tex credit मिल सकती हे ओर उसे gstr form मे केसे बताना हे 
    मुजे इस विषय मे जानकारी दीजिये गा 
    View answer
  • Ashis Jain's image
    What happens to the old stock ?
    How is the input of old stock be taken?
    Old stock where vat was calculated.
    View answer
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