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Former Member
Nov 19, 2010 at 05:05 PM

Service Tax in payment India


Hi all

I have a question on Service tax , if you could help me , it would be great !

My client currently have a system to interface invoices to SAP.

His current posting for customer invoice will be this.

Dr Customer A/c

Cr A/R a/c

Cr Service Tax Liability Bas ( 10%)

Cr Education Cess Liability Bas (0.1%)

Cr Secondary % Higher Education Liablity (0.2%)

Now for my payment i need to clear those tax and also offset it to another account

Dr Bank A/c (After adjustment or deduction)

Cr Party A/c (for full amount or adjustment)

Dr TDS Receivable on Contractors

Dr Service Tax Liability Bas

Dr Education Cess Liability Bas

Dr Secondary % Higher Education

Cr Service Tax Payable Bas

Cr Education Cess Payable Bas

Cr Secondary % Higher Education Payment

Is there any automatically do that in SAP?