26 May 2015
The subsumed rate of ST @ 14% is effective from 01-06-2015. Please refer the table below which provides clarity in applying the revised rate based on Rule 4 of Point of Taxation Rules, 2011.
Case 1: When service is rendered before the change in rate: Before rate change After rate change Rate to be applied as per Rule Invoice issued (at 12.36%) Payment received 12.36% - (a)(ii) Payment received (at 12.36%) Invoice issued 12.36% (a)(iii) Invoice issued, Payment received 14% (a)(i)
Case 2: When service is rendered after change in rate Before rate change After rate change Rate to be applied as per Rule Invoice issued (at 12.36%) Payment received 14% - (b)(i) Payment received (at 12.36%) Invoice issued 14% (b)(iii) Invoice issued, Payment received 12.36% (b)(ii)
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