[ILUG-BOM] [OT] Never buy a Reliance Telcom product

[Rony]

jtd wrote:
> On Sunday 31 May 2009, Rony wrote:
>   
>> jtd wrote:
>>     
>>> On Saturday 30 May 2009, Rony wrote:
>>>       
>>>> While he is mentioning that he is getting bills, he hasn't yet mentioned
>>>> what exactly they charged him for, as the amount he mentions does not
>>>> tally with his monthly rental. Anyway it is his choice. Many a times,
>>>> the first bill contains an advance rental for the next month. Even with
>>>> zero rental bills, the amount is deducted only after the bill + taxes is
>>>> made. For eg. If a Rs. 1750/-. rental is waived off, they add the 12.5%
>>>> service tax to it and on the final amount of Rs. 1968/- deduct Rs.
>>>> 1750/- which means a bill of Rs 219/-. They pay our rental (For the free
>>>> period) but we pay its tax as that is not free.
>>>>         
>>> Whoever pays the rent pays the tax. If you paid tax, you must get a tax
>>> receipt, cause you are entitled to setoff.
>>>
>>> Afaik you are mistaken, cause Reliance cannot claim tax on zero bill.
>>>       
>> Rental being free does not automatically imply that tax on it is free.
>>     
>
> It does. No rental charge, No tax on rental.
>
>   
>> A 
>> CA would be able to unravel this mystery. The bill and the cheque
>> payment is proof of tax paid and can be used for accounting purposes.
>>     
>
> The bill has to mention the tax as a separate component.
>
>   
>> If 
>> you pay cash at the Webworld, you get a stamped receipt. In my mobile, I
>> am on a zero rental scheme where I get free talk time equal to my rental
>> amount. 
>>     
>
> So zero rental = zero talk time?. No. It means you pay rental X and get free 
> talk time = X. And you get a tax charge for X.
>   
The tax componet is seperate.

>   
>> My bill has many components like sms usage, surfing etc and on 
>> the final amount after tax is added, I get the discount for my local and
>> std calls.
>>     
> So 
> SMS = X
> Surfing = Y
> Local call = Z
> Discount on Local call z
> Actual charge on Local call = Z-z
> Tax = 10 %
> Total =1.1 * ( X + Y + Z-z )
> Not
> Taxable amount = 1.1 * ( X + Y + Z )
> Less discount = (1.1 * ( X + Y + Z )) -z
>   

What I get is X + Y + Z + R = T (Total usage + Monthly Rentals )
Tax = 12% of T.
New total = T + Tax = TT
Final amount F = TT - Free Talktime Discount

> I had a spat with HSBC (one of the worst disorganisations i have ever come 
> across in my entire life anywhere in the world - and i have been to some real 
> hell holes), on precisely this issue, where they tried to charge me late 
> payment charges inspite of payment being made on time, then reversing the 
> charge, but not the tax because they had paid the tax. Told them that they 
> have to claim a refund, cause they cannot charge me tax on an amount that i 
> have never paid. It is ILLEGAL. 
>
>
>
>   
In your case charging the late fee itself was wrong so they wrongly paid 
the tax and that's their problem. You can't be charged for it.

-- 
Regards,

Rony.

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