Duty on unpaid service tax (Service Tax)

This query is : Open

Author : Anonymous

( Author )
20 July 2012

Sir,
we have got foreign services towards commissioning of our imported machinery in the year 2009 and on the payment made to the commissioning company we have not paid the Service tax.
if we have to pay the service tax on that amount now what will be the procedure. @ what rate the service tax is to calculate 10% or 12%

RENGARAJ R.K

( Expert )
20 July 2012

"on the payment made to the commissioning company" means, who is the service provider? Are you paying any amount to other commissioning company?

As per the point of taxation rules as amended from 01.04.2012, it is based on dt of raising of the invoice, date of receipt of the payment or advance received. Only based on your reply we can answer.

RAMESH JOSHI

( Expert )
20 July 2012

whether the commissioning company is Indian or Foreign ? When commissioning is done ? Now or in 2009 ? If commissioning was done in 2009 then you are required to pay service tax @10.3%. If it is now then as per the Point of Taxation Rules.

Author : Anonymous

( Author )
25 July 2012

Sir, we are the service receiver, since the company is foreign company and dont have any branch in India, we are liable to pay the service tax, payment towards the services made to the company in the year 2009.

Author : Anonymous

( Author )
25 July 2012

we are indian company and the commissioning company is foreign company, and commissioning done in 2009 and payment also made in the year 2009