Indian government has increased the service tax from 10% to 12% with effect from 01/04/2012.
We do changes accordingly in the service tax setup. But we are facing a problem, whatever the invoice entering with earlier rate 10% in current date, It calcualtes with 12% rate. But we want to calculate with 10% rate.
Anybody help me that how we can take this case in nav 2009.
In NAV period wise tax rate can be maintained for direct as well as indirect taxes.
To activate the same we have to change the work date of the system.!
By doing this if we are in 31st march or earlier date then based on set up it will take 10 % rate.
And if you change the working date of April or later then 12 % will be the rate.
Jainal
ok , we can change the workdate prior to April 1 to book the invoice. But when we made payment through payment voucher, suppose in mid of april after closing the april month.
Then how it can calculate the service tax with 10% rate.
sorry i have mentioned april month closing instead of March
kindly make this case more clear…
As now there is ‘Point of Taxation’ concept as well in service tax.
Jainal