Registeration and Taxability, Service Tax

[VIGNESH]

Sir. 1. in a case where the previous year turnover was below 10 lakhs and for the current year the Rental income crosses 10 lakhs (ie 1. Bill.No.1. ₹ 9,35,000+ Bill.No. 2. ₹ 1,20,000/-) should we charge Service Tax for the last bill of ₹ 1,20,000/- or for an amount exceeding 10.00 lakhs i.e for ₹ 55,000/- alone 2. Registration is done on 30.09 2015 and client have an input service bill with Tax of ₹ 22,000/- dated 31.07.2015, can he claim the service tax portion after he starts filing Service Tax Returns and paying Taxes during the financial year 2015-2016?

[KASTURI SETHI]

1.ST should be charged on ₹ 55000/-.

2. Not allowed.

AI Summary

Service tax threshold: tax applies only to amount exceeding registration limit; pre-registration input credit not permitted.
Service tax is payable only on the portion of receipts that causes turnover to exceed the registration threshold; input tax credit for a service invoice dated before the registrant's effective registration date is not allowable after registration and commencement of return filing.