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Can VAT is calculated on Service Tax for supply of Software?

rinki123rinki123 Member Posts: 367
Ques:Can VAT is calculated on Service Tax for supply of Software?

For example-> Rs.100 is cost of software + Service Tax @10.36% = Rs.110.36,
on this amount the supplier is charging VAT @ 4%,Can it be?

Service Tax and Vat both are charge on base amount then Vat@4%=4 (charge on base amount )and total amount will be 114.36,is it correct?
Regards,

Rinki

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    chengalasettyvsraochengalasettyvsrao Member Posts: 711
    a) Assign the Service tax group code to G/L account

    b) Assign the Tax group code to g/L account

    c) Assign the Service tax + Vat structure

    d) create the document -Purchase Order / Invoice.
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