• How much service tax

I am a civil engineer. working as a consultant to the firm since Nov-2014. I am getting 1.25 Lac per month. Till now i have not paid any service tax. Yesterday i have filled ST-1 and got the ST-II today. what will be the service tax i have to pay to the government. 
Asked 4 years ago in Service Tax from Vijayawada, Andhra Pradesh

As far as your gross receipts for last financial year are concerned, they do not cross the minimum slab for service tax registration.

But for current financial year, you do attract service tax implications. Being an individual, you need to pay service tax on a quarterly basis, the calculation will be @ of 12.36% for April 15 and May 15 and @ 14% for June 15. The total service tax to be paid will be Rs.48,400.00. This needs to be paid by 5th of Jul 2015, in case you opt for e-payment you enjoy 1 day's grace for making payment i.e. 6th of Jul 2015.

Swapnil Patil
CA, Navi Mumbai
30 Answers
4 Consultations

4.6 on 5.0

In last year, as your service revenue was less than 10 lacs, there is no liability.

In current year, you can start adding service tax from next invoice. Service tax charged shall be deposited with govt on quarterly basis for an individual


Ankit Jain



Ankit Jain
CA, New Delhi
32 Answers
3 Consultations

4.9 on 5.0

Service Tax is required to be paid on all services except those specified in the negative list of

services. However, a small scale service provider has the option of availing service tax

exemption in case the aggregate turnover value of taxable services does not exceed Rs 10

Lakhs in a financial year.

FY 2014-15


In this case your turnover for the FY 2014-15 is only Rs. 6.25 (from Nov 2014-5 months). Hence, you can avail the ST exemption as Small Service provider for the FY 2014-15.

FY 2015-16


You may have to charge and remit the ST for the FY 2015-16 as the expected income for the FY 2015-16 would be Rs. 15 Lakhs (Rs. 1.25*12). However, until Rs. 10 Laks, you can still enjoy the benefit of Small Service Provider (ie. No need to charge and remit ST to Gvot). Over and above Rs. 10 Laks, you shall charge and remit service tax to the Govt on or before the due date.


CA. Rajeev P T

Email: ca.rajeevpt@gmail.com

Rajeev P T
CA, Chennai
40 Answers
29 Consultations

5.0 on 5.0

Hello Sir,

As per your query, you were working as a consultant with a firm and your billing was Rs. 1.25 Lacs per month which makes it Rs.1.25 lacs * 5 months = Rs. 6.25 Lacs for the F.Y. 2014-15. Hence your were not liable for Service tax in the F.Y. 2014.15.

In the Current Year your Total Billings would be Rs.1.25 Lacs * 12 months = 15Lacs for the F.Y. 2015-16. However you will not be liable to charge or pay service tax till you reach a minimum billable amount of Rs.10 Lacs i.e till the end of 8 months Nov'15 in your case. Thereafter you will be liable to charge 14% Service Tax and remit the same to the Government on or before due date and also file your Half Yearly Service Tax Return before 25th October and 25th April to avoid penalties.


CA Rohit R Sharma


Rohit R Sharma
CA, Mumbai
2104 Answers
92 Consultations

5.0 on 5.0

For the year 2014-15, the total service charges were below the threshold limit of Rs. 10 Lakhs and you are not required to collect,pay & register for Service Tax.

For the year 2015-16, you can claim the Exemption under Notification 33/2012 in respect of Small service Providers upto an amount of Rs. 10 Lakhs and when the service receipts crosses Rs. 10 Lakhs, you need to start charging and collect and remit the service Tax.

For Better Clarity, the position is explained below :-

1) for the year 2015-16, for the first 10 Lakhs, you need not Collect/Pay Service Tax.

2) Once the Service Charges crosses Rs. 10 Lakhs, you need to Collect/Pay service tax at applicable rates.

Alternatively, if you chose not to claim the basic exemption, you need to pay service tax from Re1.

3) For the year 2016-17, you need to collect and pay from the Re. 1 since during the previous financial year, your Gross receipts has exceeded Rs. 10 Lakhs.

B S Sridhar
CA, Chennai
43 Answers
20 Consultations

5.0 on 5.0


You need to charge 14%service tax on all of your bills /invoices


Gorhe Associates



Vinayak Gorhe
CA, Thane
3 Answers
1 Consultation

Not rated

Did you collect the service tax from the company? What was the value of service provided in the last financial year? What is the value of service provided before Nov-14? With the details provided in your query it would be difficult to give a correct reply. There is a possibility that you may be in a position to claim benefit of basic exemption limit.

Shashank Surana
CA, Chennai
60 Answers
4 Consultations

4.3 on 5.0

From Nov2014 to Mar 2015 ( 5months x 1.25 lacs )= 6.25 lacs, As your services are less than 10 lacs, So no need to pay ST but you have to file ST Return as NIL tax.

Voluntarily You can pay ST 625000/112.36*12.36 =68725 with interest & ST return filed accordingly. ( IT IS ADVISABLE ONLY WHEN YOUR SERVICE RECEIVER INSISTING YOU or STOPPING YOUR PAYMENT)

You can also write for our professional help....




Shiv Kumar Agarwal
CA, Delhi
297 Answers
63 Consultations

5.0 on 5.0

As you are giving services you have to charge service tax @ 12.36% upto 31.05.2015 and after that it will be @ 14%

Kavit Dilip Gadhia
CA, Mumbai
35 Answers

4.6 on 5.0

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