Remittance of Service tax on GTA

hi,
How to create remittance challan for Service Tax on GTA?
What is the TCode for the same?
Thanks,
Maulik Maniyar

closed

Similar Messages

Diference between Service tax and GTA service tax

Hi,
Kindly tell me what is the difference between service tax and GTA service tax and their accounting entries in SAP ?
With Regards,
Samrat

Hi,
Service Tax is charged by the service vendor and you pay the service tax to the vendor along with his payment. Once you pay the service tax, it is the liability of the vendor to pay the service tax amount collected from you to the Government.
GTA is Goods Transport Authority. When you receive any service from any transport vendor, he will not charge service tax from you though it attracts service tax. It is your liability to pay the service tax to Government for the services received from the transport vendor.
In case of normal service tax it is treated as input tax and credit for the same is taken (similar to excise). But, in case of GTA you have to create the liability at the time of receiving the service and make the payment directly to the Government.
Regards
Ramakrishna

Service tax on GTA

How to reconcile the service tax on GTA liable expenses.
so, how to maintain it in system???
I want information/ suggestions for standard and Z development both....
waiting.....
Regards,
Sachin

closed

Service Tax GTA

Hi
I have created the EWT Tax Types and Codes for Service Tax for GTA and maintain formulae also for the same. Now the vendors subjected to GTA are also subject to TDS. for us, service tax is an expense, so the accouning entry happens as:
Service Tax Expense Dr
To service Tax Payable
Now we can get the liability of Service Tax but how do we get the value of invoices on which this service tax has been deducted. The J1INMIS does not show With Holding Tax Base Amount and is no longer supported by SAP. In Vendor Line Item Report, FBL1N for all the vendors, I cannot see the figure for abetement, as system, would show the With Holding Tax Base Amount and With Holding Tax Amount inclusive of TDS.
Regards
Sanil Bhandari

Hi
We can get the information via a work around:
1. In J1INMIS, we get the document Numbers for which service tax for GTA is applicable. In the initial screen, we have given the Official With Holding Key for Service Tax on GTA and Business Place as a Creiterion.
2. We down load the dump into excel from the system.
3. Then we copy the Document Numbers into FBL3N under dynamic selection and exclude the GL Account for Creditor control account, service tax expense account and service tax payable.
4. When the report is executed, system shows the value of Stock GL and expenses for which service tax for GTA is applicable.
5. The Total figures for all the invoices is thus obtained and can be used to obtain the value for service tax returns prepared outside the system
Regards
Sanil Bhandari

FBCJ: Service Tax calculation

Hi Expert,
I need to configure seceniro where while making cash payment via, service tax on GTA needs to be calculated.
Please advice

Hi,
Can you please explain with example viz., input and output
Regds
Aravind
Edited by: aravindpc on Feb 15, 2010 9:04 AM

GTA SERVICE TAX

Dear Experts
For GTA Service tax In the event where gross amount charged in individual consignment transported in a goods carriage does not exceed Rs. 750/- then the service tax is full exempt. while doing Invoice verification for base amount less than 750/- the withholding tax on the base amount should not be calculate, in my system withholding tax is also calculating for base amount less than 750/-,
in customization - define Formula for calculating withholding tax i have enter base amount 750/-
Please suggest what setting i have to do for not calculating withholding tax when invoice amount is less than the base amount
with regards,
Arabbas

Untick the Withholding tax calculation in MIRO at header level...

Error while running service tax program (New)

Hi
I have created S3 as interim tax code and S4 as final tax code. I assigned S4 to S3 as a target tax code. Entries are perfectly flowing.
But when i do service tax program for, session is created properly. When i run it in SM35, for gived error
"Tax code S4 may only contain one assignment line"
I have given routine 166 in OBQ3 for ECess and SHEC.
I tells me to do following procedure:
Use a different tax code.
For direct postings to a tax account, you might have to define a separate tax code for which only one line with a percentage rate other than zero is active in percentage rate maintenance. All other lines must be inactive.
Please help me.
Edited by: Deepak Agrawal on May 4, 2010 1:29 PM

There is one interim service tax code (for normal services) - S1. Final service tax code S2 is created assigned to S1 as target tax code.
Entry passed:
Exp A/c.. Dr                                   500000
Service Tax Basic (deferred)       50000
Service Tax ECS (deferred)         1000
Service Tax SHEC (deferred)       500
   To Vendor A/c                                        551500
For this service tax program (new) is working fine.
For the GTA scenario where service tax is not charged in invoice but we have to pay to government, in that case i have created one interim tax code G1 and i have assigned final tax code S2.
Entry passed for GTA (invoice raised by transporter is Rs. 500000):
Exp A/c.. Dr                                   515000
   To Service Tax Basic (deferred)       50000
   To Service Tax ECS (deferred)         1000
   To Service Tax SHEC (deferred)       500
   To Vendor A/c                                   500000
But when i execute the program i can see three line items (for basic, interim and SHEC)
But when i run the session, it gives error:
Tax code S2 may only contain one assignment line.
I AM UNABLE TO UNDERSTAND, WHY ITS GIVING ERROR FOR GTA SERVICE TAX TRANSFER
Edited by: Meenu_ND on Jun 1, 2010 10:48 AM

Creation of Service Tax code for Service Tax Payable

Hi
Please advise me to create service tax code for service tax payable
Thanks and Best Regards
Shekhar
Edited by: Shekhar Yecham on Sep 16, 2008 8:28 PM

Hi Randeep,
As they said it is service tax GTA.Right we are doing out of SAP, we want it to be done in SAP
The tax calculation will be like below
service tax of 10.3% has to caluclate on the 25% of the Base amount. Like
25% is taxable and 75% is livied.
Base Amount - 100.00
25% of the base amount(100/25) = 25.00
service tax(10.30%) to be calculate on Rs. 25.00
25*10.30% = 2.57
Base amount --> 100.00
Service Tax --> 2.57
Total: 102.57
Regards,
Siva.

Creation of Service Tax code 10.30% on the 25% of the Base Amount

Dear Team,
We want to create a service tax code of 10.3% on the 25% of the Base amount.
Base Amount - 100.00
25% of the base amount(100/25) = 25.00
service tax(10.30%) to be calculate on Rs. 25.00
25*10.30% = 2.57
Base amount --> 100.00
Service Tax -->      2.57
      Total:                     102.57
Can somebody let me how to create the service tax code for this.
Regards,
Siva.

Hi Randeep,
As they said it is service tax GTA.Right we are doing out of SAP, we want it to be done in SAP
The tax calculation will be like below
service tax of 10.3% has to caluclate on the 25% of the Base amount. Like
25% is taxable and 75% is livied.
Base Amount - 100.00
25% of the base amount(100/25) = 25.00
service tax(10.30%) to be calculate on Rs. 25.00
25*10.30% = 2.57
Base amount --> 100.00
Service Tax -->      2.57
        Total:           102.57
Regards,
Siva.

Service Tax for transfer from Interim to final account

Dear Guru's,
We are following the TAXINN Procedure. we are at SAP ERP ECC 6.00 version.
As per the Note 921634 they specified the defered tax code and target tax code. and the program RFUMSV50 for transferring the service tax from the interim account to the final account.
When we executing the program RFUMSV50 the layout is displayed by the system but the data is not displayed by the system.
Please suggest me in the following situations
1. First of all, whether this Note is applicable to the TAXINN condition procedure or not.
2. If Yes, do we need to maintain the following customising setting at company code level as per the note 921634
   - Maintain the deferred tax rule.
   - Assign deferrred tax rule to company code
   - Create a tax codes like deferred taxcode and target tax code.
3. If not is there any other note for TAXINN for transferring the interim account to the final account
Thanks for your cooperation.
Thanks and Regards,

These are all Part Of FI MM Integration, Discuss with your Finance Team.
Some of the Integration points are below
1. The complete Purchase cycle upto payments
2. Posting made during the purchase cycle and how the integration takes place with FI & CO, including the OBYC settings
3. The Tax procedure for input & output tax and how the same is used in MM
4. The configuration and use of Excise, if you are in india and how the processes are mapped in SAP
5. The Service Tax Configuration, including GTA and the configuration
6. How to utilize service tax credit in excise and the process for mapping service tax through deffered tax configuration
7. Stock Keeping Accounts for stock

Excise report ER1 and Service Tax report SC-3

Dear Gurus,
I want to know the following things from the transaction code J2IER1 and J2IC
In transaction code J2IER1, their is one radio button, Details of other payments made. What does it stands for?
In transaction code J2IC, what are the prerequisite for Service Tax SC-3 return.
Waiting for your valuable reply.
Thanks & regards,
Vinayak Vaidya

The J2IER1 - Other Payments Made tab is there only for the format sake. This only complies to the legal requirement of ER1 return. However, no values are filled into this column in SAP from anywhere. This section is essentially meant for filling up the details of payments other than the Excise remittances (like penalties, interest etc.) for the Excise Department. If you have paid any, you can take a print out of this format when you generate ER1 from SAP and fill the details manually.
As for ST-3 returns, it is still not available in a fullfledged manner. You can refer the following note.
Note 1393534 - Service Category determination & Service tax returns (ST3)
This is essentially to support the Annual Return submission process for Service Tax.
Ravi.

Service tax MM

Hi Team,
There are 2 places we can see service taxes.
1.In FI - TAXINN we can config these service conditions.
2.EXTERNAL SERVICE MANAGEMENT - Service conditions.
Can any one explain when to use which and why ?

Service tax is not specific for the FI & MM ,service tax is the tax leived on a specific service which we have procured for the manufactering or non manufacturing process. For manufacturing process service procured we will get the benefit on the particular service tax , only after the bill is paid to the vendor or service provider.
If service is captured through service PO than MM is involved all the procudure of Service PO, Service entry sheet & Invoice verification , Payment to vendor , service tax utilization .
If service is for GTA than directly JV can be passed in FI.
If required more specification, give me your excat dought in service tax.
Regards
Iqbal

Service Tax Issue on Transportation

In INDIA when we receive the invoice from transporters we have to calculate the service tax on the 25% of the invoice amount and the TDS as per the rates applicable entry should automatically be like this when we will use the service tax code eg
Invoice amount is 25000
Vendor Cr rs 22167
Transportation charges Dr 25000
TDS payable basic       Cr 2500
Surcharge                    Cr 250
ECS                            Cr 55
HECS                          Cr 28
Service tax                   Dr 643 (p&l a/c)
Service tax`payable       Cr 643(B/Sheet a/c)
Now the issue is when i use the tax code in SAP it posts a different transcation like
Vendor Cr rs 22167
Transportation charges Dr 24357
TDS payable basic       Cr 2500
Surcharge                    Cr 250
ECS                            Cr 55
HECS                          Cr 28
Service tax provision     Dr 643
Please let me know where i am doing wrong
Please revert
Sunil Kumar

Dear ,
this are the steps for calculating Service tax for Transportation (GTA)
Create new entries with GTA as the Official withholding tax key name
Create withholding tax type using the path
Create withholding tax code using the path
Note: when u create tax code u should select '3' for posting indicater under postings
Assign the withholding tax type to the company code using the path
Maintain G/L accounts for the debit entries using the path
if u have any quarry please get back tome......
Regards
radha

Interest on customer item excluding service tax

Hi,
When i run customer interest calculation(FINT) system calculates interest on invoice + service tax amount but i want to calculate interest on only invoice amount excluding service tax.
Request immediate help.
Thanks in advance.

Hello Pranav,
Select radio button as Net amount instead of gross amount in mentioned customization.
SPRO > Financial accouting New > Withholding tax > Extended withholdign tax > Calcualtion > Withholding tax type > Define withholding tax type for invoice. Double click on relavent TDS type & change gross as net and check impact,which we are using since notification annouced by Income tax department.
Regards
Mani Kumar

Accounting entry against Excise invoice not created for Service Tax sales

Dear all,
I am facing one problem related to accounting entry against excise invoice not created, for service tax sales scenario in SEZ plant.
Accounting entry against billing document is generated,which contains revenue account-Debit entry,service tax 10% --Debit entry,ECS-Service tax 2% --Debit entry, SECess Service Tax 1% --Debit entry & Sundry Debtors (Reco) - Domestic(Customer receivable reconciallation) account-Credit entry.
But after generating excise invoice, accouning entries not generated for clearing of Cenvat suspense entry(i.e.service tax 10% ,ECS-Service tax 2% , SECess Service Tax 1%) which is generated during billing document.
Plz. suggest step by step guideline to resolve this issue.
Thanks & Regards,
Mukesh Pardeshi

Hi ReazuddinMD,
thanks for your reply and support...I checked all the entries/accounts maintained correct.. but the Accounting entrys against Excise invoice not created..
Now i am geeting error as below at the time of saving Excise invoice,
No account is specified in item 0000000001
Message no. F5670
Diagnosis
No account was specified for account type "S" in item "0000000001" of the FI/CO document.
System Response
The Financial Accounting program cannot process the document.
Procedure
A system error has probably occurred in the application you called up. Check the data transferred to item "0000000001" of the FI/CO document.

Remittance of Service tax on GTA

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