Interest on delay

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CA.Madhavan (Querist)

22 October 2009 I had paid ST in bank before due date.But the bank has given seal after due date ie 7th.Is we liable to pay interest for the delay of clearance on the side of bank.Pls clarify.

When we show challan date in ST return,should we show the tendering date or date of seal of bank....??

CA. B.SRINIVASULU

CA. B.SRINIVASULU (Expert)

22 October 2009 Tendering date will be considered as date of deposit of tax provided the cheque is honoured.

CA SANJAY MUKHERJEE

CA SANJAY MUKHERJEE (Expert)

22 October 2009 I am also confused about the payment date as in FAQ of the department question 24 it said
https://cenexcisenagpur.nic.in/ServiceTax/faq.htm

"The amount should be paid to the credit of the Central Government by the 25th of the following month or quarter as the case may be"

So I think date of credit in Govt A/c is the date of actual payment and not the cheque date.

Please clarify for clear my confusion.

Regards sanjay

chetan soni

chetan soni (Expert)

22 October 2009 Yes, sanjay chq. date does not matter unless the same is deposited in bank on same date.

Bank receipt date or tender date is the final date on which the amount is paid to credit of govt account.

Bhaskaran Chackrapani Warrier

Bhaskaran Chackrapani Warrier (Expert)

22 October 2009 Pl have a look at CBDT Circular 261 dated 08/08/1979 reported in 120 ITR (St) 7 which is squarely applicable to Indirect tax payment also.

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