Thursday, 20 November 2014

SERVICE TAX must read....

SERVICE TAX 

About Service Tax.....
 how the restaurants loot your money ... 
Be aware

Ramanathan Hariharan updated his status: 
"Surprisingly after reading about the "Service Tax", 
I strongly decided to share this information to everyone.

This happened at the restaurant. Let me explain.

We had been to several restaurants recently. 
I observed that "service tax" has been mis-used and charged to
 the customers like you and me.

Let me give an example.

Food and Beverage = Rs. 1000.00

Service Charges @ 10% = Rs. 100.00 (10% on the Food and beverage amount)
Service Tax @ 4.94% = Rs. 54.34 (4.94% on F&B + Service Charges)
VAT @14.5% = Rs. 145.00
Total = Rs. 1299.34

As per the definition - 
"Service Tax can be charged only for the services provided to the customer".

Now, see what is happening here in the above said example.
Service Tax should be charged only on the Service Charges amount i.e Rs.100 and
 not on the entire amount (1000+100).
In this example, the customer should be charged only Rs 4.94, 
whereas he has been charged Rs. 49.00 extra.

Where does this money go? 
Only the restaurant owner and the chartered accountants 
who work for them know.

· So, I have started asking them the questions - and surprised 
to see the reactions from the famous restaurants. Either they say: 
Sir we cannot change the format of the bill - so , we will recalculate and 
tell you the revised amount. You may pay only that.

· Sir, you do not need to pay the Service Tax amount itself.

I now have 3 to 4 restaurant bills, for which I have paid only the service tax -
 on the service charges and not on the total amount.

Every bill must carry the TIN number and Service Tax Number, 
if they charge it. So, I ask for the Service tax number if it is 
not available in the receipt that they provide.

Be Aware and Pass this info. 

Jago Grahak; Jago.

 परोपकाराय फलन्ति वृक्षा: परोपकाराय वहन्ति नद्यः।
 परोपकाराय दुहन्ति गावः परोपकाराय इदं शरीरम्।।
            
 
 
                                          ( hari krishnamurthy K. HARIHARAN)"
'' When people hurt you Over and Over think of them as Sand paper.
They Scratch & hurt you, but in the end you are polished and they are finished. ''
யாம் பெற்ற இன்பம் 
பெருக  வையகம் 
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