7. What circumstanaces to use tax code SV and SVA for Credit Note?: Difference between revisions
From eStream Software
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There will be 2 cases of service tax when credit note has taken in place: <br /> | There will be 2 cases of service tax when credit note has taken in place: <br /> | ||
:1. '''Unpaid service tax'''<br /> | :1. '''Unpaid service tax'''<br /> | ||
* Cancellation of service before any payment. <br /> | |||
* use tax code: '''SV''' (follow the invoice tax code, eg. SV)<br /> | |||
* system will '''auto reverse the unpaid service tax amount''' in the '''SST - Deferred Tax (SST-203)'''.<br /> | |||
<br /> | <br /> | ||
:2. '''Paid service tax'''<br /> | :2. '''Paid service tax'''<br /> | ||
* Cancellation of service after payment and service tax has been paid to RMCD.<br /> | |||
* Seek for refund of service tax approved by RMCD. <br /> | |||
* use tax code: '''SVA'''<br /> | |||
* system will reduce the service tax payable to RMCD<br /> | |||
Revision as of 04:09, 31 January 2020
Issue:
- Service tax is based on payment basis.
Solution:
There will be 2 cases of service tax when credit note has taken in place:
- 1. Unpaid service tax
- Cancellation of service before any payment.
- use tax code: SV (follow the invoice tax code, eg. SV)
- system will auto reverse the unpaid service tax amount in the SST - Deferred Tax (SST-203).
- 2. Paid service tax
- Cancellation of service after payment and service tax has been paid to RMCD.
- Seek for refund of service tax approved by RMCD.
- use tax code: SVA
- system will reduce the service tax payable to RMCD