Service Tax Entry in SAP

If a manpower supplier is a proprietor & service receiver is LTD company. Due to RCM amendment service provider 25 % service tax & service receiver is paying remaining 75% Service Tax. So what will be general ledger entry in above cases in SAP. & what will be general entry at a time of cenvat credit ?
Plz lets know

Questions by unmesh

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GVR

  • Dec 4th, 2013
 

For service provider portion
Expense A/C Dr
Service tax deposit A/C Dr
   To Creditor A/C
For Service Receiver portion
First you have to create a service tax payable A/C and a vendor A/C in the name of govt. Then pass the following entries

At the time of booking exp.
For liability creation
1) ST payable A/C dr
  To vendor a/c
At the time of payment
For payment
2) vendor a/c dr
   To bank a/c
For availment of credit
3) ST deposit a/c dr
  To ST payable a/c
(OR) otherwise pass manual entry
ST deposit a/c dr
               To bank a/c
Note: st deposit a/c is Input credit a/c

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