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)
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
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)
Amount Received
Bank Dr 113000
TDS Receivable 2000
To RK Associates 115000
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