Service tax due date for limited liability partnership?
This query is : Resolved
04 July 2016
Hi, Actually Our Client A LLP is Paying Service tax Quarterly, but as Service Tax Rules Specifically distinguishes Body Corporate from Firm, can the Period of Payment be monthly For LLP? Thanks in advance.
Hi, Actually Our Client A LLP is Paying Service tax Quarterly, but as Service Tax Rules Specifically distinguishes Body Corporate from Firm, can the Period of Payment be monthly For LLP? Thanks in advance.
04 July 2016
If the service taxes are paid online through internet banking, etc., the payments will be due on the 6th of every month and the 31st of March.
If the service taxes are paid by any other means, the payments will be due on the 5th of every month and the 31st of March.
The following types of service taxpayers need to pay their service taxes every month:
1) Private Limited Company service providers.
2) Limited Liability Partnership (LLP) service providers.
3) One Person Company service providers.
If the service taxes are paid by any other means, the payments will be due on the 5th of every month and the 31st of March.
The following types of service taxpayers need to pay their service taxes every month:
1) Private Limited Company service providers.
2) Limited Liability Partnership (LLP) service providers.
3) One Person Company service providers.
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04 July 2016
will the liability be monthly for LLP, even if the turnover is less than 50 lakhs?
24 July 2025
### **Service Tax Payment Due Date for LLPs**
You’re right that **LLPs** (Limited Liability Partnerships) are treated differently from **firms** or **body corporates** under service tax rules. Let’s address the key points and your specific query regarding the **payment frequency** for **LLPs**:
---
### **1. Service Tax Payment Frequency for LLPs:**
For an **LLP**, the service tax **payment period is monthly**, even if the turnover is **less than ₹50 lakhs**.
This is different from **small service providers** (who might be eligible for a **quarterly payment** scheme under certain conditions). However, for LLPs, the general rule requires them to **pay service tax monthly** regardless of turnover.
* **Due Date for Payment**:
* **For Offline Payments (i.e., Bank Payment)**: Due on **5th of the following month**.
* **For Online Payments (i.e., through Net Banking)**: Due on **6th of the following month**.
#### Example:
* **For Services Provided in June 2016**, the payment is due by:
* **5th July 2016** (Offline Payment)
* **6th July 2016** (Online Payment)
---
### **2. Turnover Consideration:**
Even if an **LLP’s turnover** is below **₹50 lakhs**, the LLP is still required to make **monthly payments**. The service tax regime for LLPs does not provide any exemption for smaller businesses regarding the **monthly payment** schedule.
---
### **3. Why Monthly Payment for LLPs?**
The rule that **LLPs must pay monthly** applies to all LLPs providing taxable services, and it is not contingent on turnover (unless there’s a **small service provider exemption**, which is a different scenario, typically for businesses with very low turnover and specific criteria).
---
### **4. Service Tax Return Filing for LLPs:**
Although **payment** is **monthly**, the **return (ST-3)** is **quarterly** for LLPs.
* **Due Date for Service Tax Return (ST-3)**:
* For the quarter ending **March 31st**: **25th April**
* For the quarter ending **June 30th**: **25th July**
* For the quarter ending **September 30th**: **25th October**
* For the quarter ending **December 31st**: **25th January**
---
### **Conclusion:**
* **Payment Frequency**: **Monthly**, even if the turnover is below ₹50 lakhs.
* **Due Date for Payment**:
* **5th** (offline) or **6th** (online) of the **following month**.
* **Return Filing**: **Quarterly**.
If you have any more questions about **LLP’s service tax obligations** or how to handle specific scenarios, feel free to ask!
You’re right that **LLPs** (Limited Liability Partnerships) are treated differently from **firms** or **body corporates** under service tax rules. Let’s address the key points and your specific query regarding the **payment frequency** for **LLPs**:
---
### **1. Service Tax Payment Frequency for LLPs:**
For an **LLP**, the service tax **payment period is monthly**, even if the turnover is **less than ₹50 lakhs**.
This is different from **small service providers** (who might be eligible for a **quarterly payment** scheme under certain conditions). However, for LLPs, the general rule requires them to **pay service tax monthly** regardless of turnover.
* **Due Date for Payment**:
* **For Offline Payments (i.e., Bank Payment)**: Due on **5th of the following month**.
* **For Online Payments (i.e., through Net Banking)**: Due on **6th of the following month**.
#### Example:
* **For Services Provided in June 2016**, the payment is due by:
* **5th July 2016** (Offline Payment)
* **6th July 2016** (Online Payment)
---
### **2. Turnover Consideration:**
Even if an **LLP’s turnover** is below **₹50 lakhs**, the LLP is still required to make **monthly payments**. The service tax regime for LLPs does not provide any exemption for smaller businesses regarding the **monthly payment** schedule.
---
### **3. Why Monthly Payment for LLPs?**
The rule that **LLPs must pay monthly** applies to all LLPs providing taxable services, and it is not contingent on turnover (unless there’s a **small service provider exemption**, which is a different scenario, typically for businesses with very low turnover and specific criteria).
---
### **4. Service Tax Return Filing for LLPs:**
Although **payment** is **monthly**, the **return (ST-3)** is **quarterly** for LLPs.
* **Due Date for Service Tax Return (ST-3)**:
* For the quarter ending **March 31st**: **25th April**
* For the quarter ending **June 30th**: **25th July**
* For the quarter ending **September 30th**: **25th October**
* For the quarter ending **December 31st**: **25th January**
---
### **Conclusion:**
* **Payment Frequency**: **Monthly**, even if the turnover is below ₹50 lakhs.
* **Due Date for Payment**:
* **5th** (offline) or **6th** (online) of the **following month**.
* **Return Filing**: **Quarterly**.
If you have any more questions about **LLP’s service tax obligations** or how to handle specific scenarios, feel free to ask!
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