Straight Scenes Designs is an architectural firm. They render architects services and interior decorations to their clients. They receive advertising services to promote their firm and also event management services. Let's see how service tax details can be defined in a scenario, where a company renders more than one service and receives more than one service.
To define service tax details for Straight Scenes Designs
1. Go to Gateway of Tally > F11: Features > Statutory & Compliance.
2. Set Enable service tax? to Yes.
3. Enable the option Set/alter service tax details?
4. Enable Define service category and tax details as masters? to set service tax details in the group level.
5. Press Enter to save.
Note:If the service tax details are not defined in the ledger level, the details are captured from the group level.
The service tax details for a group can be defined during:
or
For each of the services rendered and received, a service category can be created. The service category with the service tax details should be associated with a group.
Create a service category as shown below. Click the image below to view the step-by-step procedure of creating a service category:
Create a group under Sales Accounts as shown below. Click the image below to view the step-by-step procedure of creating a ledger group with service tax details:
Create a ledger under the new service category- Architect Services created as shown below. Once the ledger is associated with a category, the service tax details defined in that category is inherited.
On selecting the service tax and Swachh Bharat cess ledger in the transaction, the service tax and Swachh Bharat cess rate is calculated as shown in the screen below. Click the image below to view the step-by-step procedure for recording a service tax sales transaction:
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