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Q. > Please Help: Service Tax on Service Charge
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472 views • Question added Feb 04, 2015 • Service Tax • By CA Sahil Wadhwa , CA , Gurgaon


Kindly let me know what rate to be charged on Service charge charged by Restaurants 12.36% or 4.944% as same on Food Bill

1 Answers

answered Feb 06, 2015 by CA Satuti Mahajan , batala

12.36%


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CA Ashish Aggarwal

05-Feb-2015 , 04:46:10 pm

In this case the service tax would be levied on (cost of food + service charge) @ 4.94 %

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Adil Malik

05-Feb-2015 , 05:53:47 pm

Service Tax applicable @ 4.944% on total bill amount excluding Vat only

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ATIT D. SHAH

06-Feb-2015 , 10:18:14 am

4.944%, as there is no full break up of Service Portion (Service charge{as mentioned on invoice} is only part of service Portion chargeable in service tax)

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Aditya Goel

19-Feb-2015 , 10:03:28 pm

4.94 % (i.e. 40% of 12.36 %) its assumed that 40% of bill is for food.

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