Provisional payment

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haritha

haritha (Querist)
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22 October 2011 wat is provisional payment in service tax?

Madhukar N Hiregange

Madhukar N Hiregange (Expert)
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24 October 2011 Where the value ofthe taxable services is not cacluatable due to various reasons or the services are provided from different plces or the amount would be only after dcertification by the client then provisional payment [ based on estimates couldbe made]. This has tobe approved by the ACST/ ACCE.
This provisional figure is tobe finally calcuated at periodic intervals and the differentail ST along with interest is tobe paid.
Most times the assessment is inordinately delayed. and assessees avoid this procedure if possible.

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