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Case 1
Suppose our company provided Maintenance Services of 100000+15% Service Tax to RK Associates
Pass entry for Issue oi bill and Payment
(Assume no TDS Deducted)
View AnswerBill Issue
RK Associates Dr 115000
     To Maintenance Charges Income 100000
     To Output ST                  14000
     To Output SBC                   500
     To Output KKC                  500
(14% Service Tax,0.5% Swachh Bharat and 0.5% KrishiKalyan Cess should be ideally shown separately)
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Amount Received
Bank Dr  115000
    To RK Associates 115000
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Case 2
Resolve last question assuming TDS @ 2% Deducted
View AnswerGross Amount excluding Service Tax=100000
TDS=2% of 100000=2000
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Entry
RK Associates Dr 115000
     To Maintenance Charges Income 100000
     To Output ST                  14000
     To Output SBC                   500
     To Output KKC                  500
(14% Service Tax,0.5% Swachh Bharat and 0.5% KrishiKalyan Cess should be ideally shown separately)
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Amount Received
Bank Dr  113000
TDS Receivable 2000
    To RK Associates 115000
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