Excess payment of service tax
This query is : Resolved
15 December 2011
Assesee has issued a invoice for service provided by him and paid the service tax on the taxable amount but later on the said invoice is rejected by the third party. Now assesee dont want to cancel the invoice but issue a fresh invoice but the service tax payable on that fresh invoice is less than the service tax payable on old invoice.
Now i want to know the process to adjustment of the said excess deposit the service tax.
Now i want to know the process to adjustment of the said excess deposit the service tax.
15 December 2011
As per Rule 6(3) of Service Tax Rules, 1994 as amended after introduction of POT Rules, 2011
Where an assessee has issued an invoice, or received any payment, against a service to be provided which is not so provided by him either wholly or partially for any reason or where the amount of invoice is renegotiated due to deficient provision of service, or any terms contained in a contract, the assessee may take the credit of such excess service tax paid by him, if the assessee.-
(a) has refunded the payment or part thereof, so received for the service provided to the person from whom it was received; or
(b) has issued a credit note for the value of the service not so provided to the person to whom such an invoice had been issued.
Thus you can take the credit of excess service tax paid by satisfying either of above conditions i.e., refund or issue of crdit note.
If u r satisfied by my reply then say thanks by clicking on "THANK USER".
Where an assessee has issued an invoice, or received any payment, against a service to be provided which is not so provided by him either wholly or partially for any reason or where the amount of invoice is renegotiated due to deficient provision of service, or any terms contained in a contract, the assessee may take the credit of such excess service tax paid by him, if the assessee.-
(a) has refunded the payment or part thereof, so received for the service provided to the person from whom it was received; or
(b) has issued a credit note for the value of the service not so provided to the person to whom such an invoice had been issued.
Thus you can take the credit of excess service tax paid by satisfying either of above conditions i.e., refund or issue of crdit note.
If u r satisfied by my reply then say thanks by clicking on "THANK USER".
Message likes :
2 times
16 December 2011
In that case should the assesse has to intimate the service tax deptt for taking the credit of excess paid service tax which he want to claim with issuing the credit note?
16 December 2011
Intimation is required to be given to the range superintendence when u adjust excess amount under Rule 6(4) & (4A) of said rules. In your case u can adjust excess amount paid under Rule 6(3) therefore you need not to give intimation of the same.
Message likes :
1 times
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now
Click here to login now
Similar Resolved Queries
Unanswered Queries
- Showing Gift from relative in ITR for this year
- ITR selection for salaries and capital gain less than L
- Share accounting-->fifo - capital gain - period as per fifo?
- Treatment of Pension ?annuity returns on PMVY
- ITR filing- non tax audit cases- Asstt.Year 2026-2027
- Soyabean hsn code and gst rate
- Regarding IMS Mandatory from 1st July 2026
- CA IPCC Registeration in 2012, Is my registration Active or Expired
- Free lancer income
- Form 27Q Correction statement taking too long to update on IT Portal
- Capital Gain on EUITY Shares
- Gst invoice numbering and delivery challan numbering
- Standard Deduction claim for EPFO Pension and ICICI Prudential Life Annuity
- Small dealers gst returns filing
- Sales amount in Gstr1
- CG after sale of flat
- E Commerce GSTR1 & 3B how to file
- GST Cancellation without jurisdiction
- Legal Opinion on Registrar's Refusal to Investigate a Society for Non-Renewal and Non-Compliance
- GST Refund_RFD-01
Trending Online Classes
-
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English
CA Bhanwar Borana & CA Shubham Keswani
Subscribe to Pro
Join an elite circle of professionals
CAclubindia
