Hi,
I have a confusion regarding the service tax applied to me in restaurant. I have explained below the calculation. Please answer my queries.
We went to a restaurant as a team in Chennai. We ate some veg and nov-veg food items. We got the below bill amount.
Bill Amount : 12000.00
Service Charge : 480.00
Service Tax : 617.00
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Total : 13097.00
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Above total amount(13097.00) is what we paid.
Here service tax is calculated as (12000 + 480) * 40/100 *12.36/100 = 617.00
They calculated service tax on Bill Amount and Service Charge(12480.00).
Actually they should have calculated service tax on only Bill Amount(12000.00). It should have been 12000 * 40/100 * 12.36/100 = 593.00
I believe they charged extra Rs. 24/- .
Am I correct?
Thanks,
Ranganadhan
