FAQ on Service Tax

This page provides all the FAQ related to service tax.

Service Tax

1.     What is GAR 7 challan for service tax?

2.     How to record sale of services attracting Swachh Bharat Cess after considering the abatement?

3.     How to record reverse charge transactions attracting Swachh Bharat Cess?

4.     How to user voucher class for recording sale of services?

5.     Can I view tax liability details category-wise and transaction-wise to verify with ST3 report?

6.     Can I export Form ST3 to Excel?

7.     Service tax amount was not updated when sales value is altered in an inclusive of tax transaction. How do I update the service tax amount without having to record the transaction again?

8.     Unable to generate GAR-7 challan from payment transaction, why?

9.     How to record a service tax transaction in foreign currency?

10.  What is reverse charge of service charge?

11.  How do I enable service tax applicable in non-revenue accounts like current assets, fixed assets and so on in Tally.ERP Release 5.0 onwards?

12.  How do I configure reverse charge of service tax?

13.  How do I resolve the exception Unable to determine the service category in advance receipt/payment?

14.  How do I resolve the exception Unable to determine tax rate?

15.  How do I resolve the exception Unable to determine Nature of adjustment in service tax?

16.  How do I resolve the exception Mismatch in tax details of Masters and Transactions?

17.  How do I resolve the exception exempt notification number and notification serial Number not found?

18.  How do I resolve the exception Abatement notification number and notification serial number not found?

19.  How do I carry forward the amount of CENVAT credit and excess duty payment made in previous tax period to subsequent tax period?

20.  How to configure a voucher class in accounting invoice mode?

21.  How to configure a voucher class in item invoice mode?

22.  How to export ST 3 report from Tally.ERP 9 and validate it?

Swachh Bharat Cess for Release 4.9x

1.     How to define Swachh Bharat cess in 4.9x?

2.     How to record a payment transaction for Swachh Bharat cess in 4.9x?

3.     How to account for Swachh Bharat Cess in sale of Pure Agent services in 4.9x?

4.     If a Swachh Bharat Cess ledger has been created with Type of Duty/Tax as Others, how can it be used in transactions?

5.     How to configure Swachh Bharat Cess in Release 4.9x when TSS has expired?

6.     How to configure Swachh Bharat Cess for 5.x releases below Release 5.1.3?

Swachh Bharat Cess in Release 5.3.4

1.     How to define Swachh Bharat Cess in sales/purchase ledgers?

2.     What are the Swachh Bharat Cess related enhancements in release 5.3.4?

3.     How to pass transaction for payment of interest on Swachh Bharat Cess?

4.     How to pass transaction for payment of penalty on Swachh Bharat Cess?

5.     How to pass transaction for payment of Swachh Bharat Cess in Release 5.3.4?

6.     Why is Swachh Bharat Cess paid amount not appearing under service tax credit availed in Form ST 3 computation report?

7.     How to pass adjustment for advance Swachh Bharat Cess paid?

8.     How to pass adjustment for tax paid but service not rendered (Swachh Bharat Cess)?

9.     How to pass adjustment for excess Swachh Bharat Cess paid?

10.  Will Swachh Bharat Cess details configured in previous versions get migrated to Release 5.3.4?

11.  Why does Service Tax appear twice instead of Swach Bharat Cess, while printing invoice in simple format?

Krishi Kalyan Cess in Release 4.9x

1.     How to record account for Krishi Kalyan Cess while recording transactions that attract service tax?

2.     How to create reverse charge liability for Swacch Bharat Cess and Krishi Kalyan Cess in Tally.ERP 9 version 4.93 Stat 260?

3.     How to record transaction for adjusting Swacch Bharat Cess and Krishi Kalyan Cess in Tally.ERP 9 version 4.93 Stat 260?

4.     How to record transaction for tax payment of Swacch Bharat Cess and Krishi Kalyan Cess in Tally.ERP 9 version 4.93 Stat 260?

5.     Do the values of Swachh Bharat Cess and Krishi Kalyan Cess appear in service tax reports in Tally.ERP 9 version 4.93 Stat 260?

6.     Do the values of Swachh Bharat Cess and Krishi Kalyan Cess appear in Form ST3 in Tally.ERP 9 version 4.93 Stat 260?

Krishi Kalyan Cess in Release 5.3.8

1.     What are the gaps and workaround for Krishi Kalyan cess in release 5.3.8?

2.     How to record payment voucher for penalty on Krishi Kalyan Cess (KKC)?

3.     How to record payment voucher for interest on Krishi Kalyan Cess (KKC)?

4.     What is the new cess implemented for service tax in Release 5.3.8 and from when it is applicable?

5.     How to create Krishi Kalyan Cess (KKC) Ledger?

6.     On which value the Krishi Kalyan Cess is calculated?

7.     Is calculation of KKC supported for transactions inclusive of service tax? If yes, how?

8.     Is calculation of KKC supported if abatement is provided?

9.     Can we avail input credit of Krishi Kalyan Cess (KKC)?

10.  Can I adjust input credit of Krishi Kalyan Cess (KKC) against the excise liability?

11.  How to adjust input credit of KKC against KKC liability?

12.  Is there any option to auto adjust the KKC input credit against KKC liability?

13.  Can I record auto payment of Krishi Kalyan Cess (KKC) in Release 5.3.8?

14.  Will the Krishi Kalyan Cess (KKC) values affect the Form ST3 computation report in Release 5.3.8?