Dear ADDA Treasurers,<\/p>\n
You may have heard of the Swach Bharat Cess being added to Service Tax.<\/p>\n
A circular was published by Revenue department on 6-Nov-2015, based on which below is the majority interpretation. Clarifications are still pending from the department and our Team is on top of all information in this regard.<\/p>\n
Please find below our\u00a0understanding on how the change impacts Apartment Owners Associations\/Resident Welfare Associations in Housing Societies or Apartment Complexes, as of now:<\/p>\n
1. Service Tax rates are being revised to 14.5% effective 15 November, 2015<\/span><\/span>. This is with regard to an increase of tax by\u00a00.5% as Swachh Bharat Cess.<\/p>\n 2.\u00a0Currently, it seems that you may not be able to claim service tax credit for\u00a0Swachh Bharat Cess. Hence, societies may end up paying 14.5% service tax on output services and take service tax credit of 14% only on vendor invoices. The clarification from service tax department is awaited in this regard.<\/p>\n If you are thinking about\u00a0what you need to do to be prepared for this change;\u00a0you need to do nothing at all if your Billing is on ADDA.<\/strong>\u00a0ADDA billing and accounting package is already prepared for this change. We have created a System account called Swachh Bharat Cess in all the ADDAs. From Nov 15,2015 – along with\u00a0Service Tax, Swachh Bharat Cess on Service Tax will be automatically posted.\u00a0There is no action required on part of our users.<\/a> For any further queries and help,\u00a0please contact us here.<\/a><\/p>\n Your Sincerely, Dear ADDA Treasurers, You may have heard of the Swach Bharat Cess being added to Service Tax. A circular was published by Revenue department on 6-Nov-2015, based on which below…<\/p>\n","protected":false},"author":3,"featured_media":5929,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_lmt_disableupdate":"","_lmt_disable":"","footnotes":""},"categories":[2024,2019],"tags":[59,142,339,256,350,837],"class_list":["post-5924","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-adda-community-accounting","category-adda-india-housing-society-apartment-management","tag-apartment-accounting","tag-apartment-complex","tag-housing-society","tag-service-tax","tag-society-billing","tag-swachh-bharat-cess"],"_links":{"self":[{"href":"https:\/\/adda.io\/blog\/wp-json\/wp\/v2\/posts\/5924","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/adda.io\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/adda.io\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/adda.io\/blog\/wp-json\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/adda.io\/blog\/wp-json\/wp\/v2\/comments?post=5924"}],"version-history":[{"count":1,"href":"https:\/\/adda.io\/blog\/wp-json\/wp\/v2\/posts\/5924\/revisions"}],"predecessor-version":[{"id":17113,"href":"https:\/\/adda.io\/blog\/wp-json\/wp\/v2\/posts\/5924\/revisions\/17113"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/adda.io\/blog\/wp-json\/"}],"wp:attachment":[{"href":"https:\/\/adda.io\/blog\/wp-json\/wp\/v2\/media?parent=5924"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/adda.io\/blog\/wp-json\/wp\/v2\/categories?post=5924"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/adda.io\/blog\/wp-json\/wp\/v2\/tags?post=5924"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}
\nADDA Accounting Automation Department<\/p>\n","protected":false},"excerpt":{"rendered":"