Scenario - Service Tax on Freight

Hi All,
How I can map below scenario -
Basic Price - 1000.00
VAT 4 % - 40.00 - Tax code
Freight - 100.00 - Condition Type
Service Tax on Freight - 25.00 - Not to be inventoried on Material
PO Value - 1165.00
Currently we are not adding service tax component in PO. How to add the same.
If I go Through condition type, service tax will get inventoried on material.
Please suggest.
Regards,
Rakesh

Hello,
Basic Price - 1000.00
VAT 4 % - 40.00 - Tax code
Freight - 100.00 - Condition Type
Service Tax on Freight - 25.00 - Not to be inventoried on Material
PO Value - 1165.00
Create One account key and acrrual for condition "Service Tax on Freight" and assign that one Pricing procedure. then system will not inventorised that value.
If Basic Value of the PO is --1000 .
VAT 4% on Basic price means --40INR (is it invenotrised?)
Freight ---100 INR
Service tax on Freight--25
Then Sytem will show at the time of GR(accounting entries)
BSX----1165+
WRX---1000-
Fright--100+
Freight--100-
Service on Freight---25+
Service on Freight---25-
Regards
Mahesh Naik

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Hi.
In Sales Order From Factory,
1)The Service tax on Freight is paid by customer. ie. one condition type exist that is Service tax on Freight,
Since it is service tax, it should hit RG23A part1
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Dear All,
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We have shipment document and cost calculation in place for inbound material.
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I made the PO for services as follows:
Base amount (PB00) = Rs 100 ( value of service)
Service Tax @ 12 % = Rs 12 ( cenvatable)
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Secondary Edu Cess @ 1 % = Rs 0.12 ( CENAVATABLE)
Total Value of PO = Rs 112. 36
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2) Edu. Cess
3) Secondary Education Cess.
JEC1, JEC2, JA1S and JA1I is already used in my procedure ZTAINJ, for the purchase activities for raw material, capital goods, spares etc,
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with regards
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Dear Friend,
Thanks for your help.
could you please help on following also;
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JSV2
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JVRN
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my email is : [email protected]
WIth regards
Pratap

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Dear Experts,
I have created an A/P Invoice for a Service item with Service Tax Non-Deductible(100%). For that we got the journal entry as below.
Journal Entry
Edu. Cess on Service Tax Payable Dr.                   00
HCess on ST Payable Dr.                                        00
Service Tax Payable (Non-Deductible) Dr.              00
Inbound Freight and Carriage Dr.                       10000
Service Tax Payable (Non-Deductible) Dr.            258
                Vendor A/c                                                     10258.
But my client is asking for the credit figure to be splited to Vendor A/c - 10000 and Service Tax Payable (Non-Deductible) A/c - 258.
He wants the Service Tax amount not to be credited to the Vendor A/c; but to be kept in the Service Tax Payable account.
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Regards,
Anandh.
Edited by: anandharajaa on Apr 8, 2011 7:32 AM

Hi
I never seen this kind of scenario....
If your involving any tax in Document then it will Cr. or Dr. to respective vendor or customer and it is the logic too , they have to pay for that... IF they are not payable then will your company pay for that to Govt. It will be lose to company only....
So in Straight the way you need is wrong according to me, May be i don't know your are current scenario might be like this... if it so pls explain further ....
Giridharan V

Scenario - Service Tax on Freight

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