Service Tex

[sharafat ansari]

Respected sir,

(1)My main Query is if agency Deduct Service Tax than why not show in salary sleep.

(2) How Many Percentag Service Tax can Deduct any Agency ?

[KASTURI SETHI]

The Agency must show all the deductions in salary slip. 15 % including SBC and KKC (Cesses).

[VAMSI KRISHNA]

Dear All

Let me Know what is real transaction happening there. Deduction of service tax by agency is same as TDS or what ?????

[Ganeshan Kalyani]

You can directly speak to the agency and get clarification. We can reply based on the question.

[DR.MARIAPPAN GOVINDARAJAN]

TDS is different from service tax. Income tax is your burden and they deduct income tax from your receipts. Service tax is an addition to the bill amount. Service tax is payable by the service provider to the credit of the Central Government under his registration number. Income tax deducted for you is remitted under your PAN number.

The service provided by the employees to their employers is exempted one and no service tax is recoverable from the salary of the employee.

The service tax to be deducted is 14%; 0.5% - swacch bharat cess; 0.5% Krish Kalyan Cess.

AI Summary

Service tax on employment services: agencies must not recover tax from employee salary and must disclose deductions.
The text explains that service tax is distinct from TDS: TDS is an income tax deducted under the recipient's PAN, whereas service tax is payable by the service provider under its registration. Agencies must show deductions on salary slips. Services rendered by employees to employers are treated as exempt from service tax, so service tax should not be recovered from an employee's salary; service tax components include the central tax and additional cesses and must be transparently disclosed.