6. Can I mixed the sales tax and service tax in single invoice?
From eStream Software
- Can I mixed the sales and service tax code in single document?
- 1. Customs officer has recommended the company should issue the invoice, debit note and credit note for sales and service invoice separately.
- 2. Indicate the sales and service tax registration no on the invoice letter head separately as well.
- 3. This is to ease the Customs audit operation purpose.
- Sales tax and service tax having different accounting basis as explained below.
- a) SALES TAX
- Billing / accrual basis
- Sales Tax required to be accounted at the time when the goods are sold, disposed or first used
- b) SERVICE TAX
- Payment basis
- Service Tax required to be accounted at the time when the payments is received.
- On the day following period of twelve month when any whole or part of the payment is not received from the date of the invoice for the taxable service provided