Service tax

ajaykt_2000

Dear Expert
I want to calculate and post service tax my scenario is vendor is a transport vendor and erase bill Rs 10000.00 without service tax calculation i want to calculate service tax on 25% of this ie 2500.00
Service Tax amount 257.00 (approx)
But I want to credit Vendor on 10000.00
not in 10257.00 if there is any setup please tell me in details

ssingla

Have you checked the GTA functionality in NAV IN localization.

ajaykt_2000

Dear Singla
ya i am checked GTA functionality i tick GTA in vendor card TAx information but calculation is based on whole amount not in 25%.
My setup is Service TAx 10% Ccess 2% Ecess 1% and Abatment 75% but in GTA calculation value is 10000.00 on above example But in my case service tax base amount is 2500.00(ie 25%of main amount. If there is any setup Please tell me in Details

ssingla

That is exactly the purpose of abatement. 75% abatement will reduce the base value to 2500/- for calculation.

ajaykt_2000

but in my case the service tax base amount is 10000.00 not in 2500.00 I want to calculate service tax on 2500.00 . i dont know if there is any other setup for that in purchase header or any where else.
Because when i remove check mark on GTA field in vendor card the service tax calculation is on 2500.00 base value but in this case vendor credit on 10000.00+257.00.
but i want to credit vendor on 10000.

ssingla

Have you tried posting the purchase invoice with GTA=TRUE?
Also have a look on statistics form. It will show Service Tax Amount but will not add the amount in the Total value meaning Vendor will be credited with base amount (10000/- in your case).

ajaykt_2000

you r right but my problem is if we use GTA then System ignore Abatment % and calculate service tax on full amount i want to calculate service tax on 25% of full value. Remaining is ok.

ssingla

Have you placed tick mark on Declaration Form (GTA)?

ajaykt_2000

\:D/ Yes it's done. Thanks alot.