I have filed Service Tax Return for my company using Service Tax Utility. The status is " filed " , however it is stated that : " Following issues have been found in your return,
Sum of SB Cess payable {Rs.179429/-} entered by the assessee is less than the sum of SB Cess payable {Rs.179430/-} calculated by the system.Differential amount is {Rs.-1/-}.
My query is
1. Is it necessary to file revised return for re.1/- 2.How to remove such differences , because if I increase the SB Cess by Re.1 for one service , I have to make adjustment in SB Cess of other. Is there any formula / method.
23 April 2016
No you don't need to file any revise return.. It is valid return... Its only computational error... And will be ignored...
To avoid these cases you have ensure that... All fractional values you need to consider while computing your tax liability. I. E. Avoid round
24 April 2016
There is no need to file revised return. These errors occur due to rounding off. Mostly Service Tax and SBC is calculated on Excel Worksheet and the rounded figure is paid through GAR - 7 Challan. Rounding off is accepted by the Department and even to the extent of up to Rs.1,000/- depending on the tax payable is ignored.
In the case of Vodafone India vs Commissioner of Central Excise and Service Tax, the Court accepted the contention of the assessee that since they round off every bill, difference in the tax collected and paid will vary. And in this case the difference was about Rs.12 Lakhs.
CAclubindia
