Interest

This query is : Resolved

Sumit (Querist)
Follow

05 April 2012 is dere any change in service tax rules regarding the delayed payment.
for eg-due date is 5th and 6th april but service tax is actually paid on 15th april. then will there be any liability for paying the interest???/

CA Prashant Gupta

CA Prashant Gupta (Expert)
Follow

05 April 2012 The due date for march is 31st March.

While interest is charged at 13%p.a. for delayed payment counting on day basis.

Message likes : 1 times

Suresh Ramaswamy

Suresh Ramaswamy (Expert)
Follow

05 April 2012 The due date for payment of service tax for the month / quarter ended 31st March is 31st March itself. Any delay in paying the service tax due is subjet to ley of interst as well as penalty. Interest has to be calculated and paid @18% per annum on daily basis. e.g. if the service tax payable is x and the same is paid on 15th April, the interest payable will be = x*18%/365*15.

the rate of interest is 18% per annum and not 13%.

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

Summarize this with AI

ChatGPT Perplexity Claude Google AI Grok