St-3 return

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

23 April 2016 Dear Experts,

I Made a Total ST Payment worth Rs.27,00,000 out of which Rs.5,84,605 used in filling ST-3 of April to Sept 2015. Balance Rs.21,15,395 is with me how can i adjusted this amount in ST-3 Form for Oct to March 2015 payament.

In which section i have to show the Rs 21,15,395 challan kidnly please advice on same.......

Suresh Ramaswamy

Suresh Ramaswamy (Expert)
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24 April 2016 My initial query would be on what basis you paid Rs.27 lakhs as Service Tax. Next under what accounting code (i.e.relevant to which service) was this amount paid? Thirdly have you paid the Swach Bharat Cess due in the said amount. SBC came into effect only on 15th November 2015.

that said, two options are open to you. The GAR - 7 challans have no period of financial year mentioned, i.e. it is never stated against which years liability the duty is paid, even though the date of payment is mentioned in the challan. You can adjust the payments as when they become due by quoting challan numbers.

The other option is to disclose the payment of tax as advance payment in Part C of the ST - 3 Return for the period October 2015 to March 2016, to the extent it is excess after adjusting the tax for the period October 2015 to March 2016. In case you have already shown the excess as tax paid in advance in your ST - 3 Return for April to September 2015 in Part C, then the same is to be appropriated. In case you have not reported the advance payment, Report the challans in Part H to correspond with the liability in Part D & G of the ST -3 Return. The excess should be reported in Part C as advance payment. In the subsequent ST - 3 Returns make the adjustments under Rule 6(1) in Part D with corresponding challan & source document entries in Part H.

Querist : Anonymous

Querist : Anonymous (Querist)

26 April 2016 Sir Suresh Ramaswamy ,

Service tax is pedning of Last 2 years i made payment on lumpsum basis & I dont said that SBC is payable by me because this return is for April to Sept 2013....kindly suggest

Asha Kanta Sharma

Asha Kanta Sharma (Expert)
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25 July 2025 Got it! Since your lump sum payment of Rs. 27,00,000 is for pending service tax dues from **April to Sept 2013** (before Swachh Bharat Cess came into effect), here’s how you can adjust and report it in the ST-3 return:

### How to adjust the Rs. 21,15,395 balance in ST-3 return?

1. **Identify the periods for which tax is paid:**
Since the payment is lump sum for multiple periods, allocate the amounts to each relevant period in your records (based on dues and challan dates).

2. **Filing ST-3 return for subsequent periods (Oct 2013 - March 2014):**

* In **Part C (Tax Paid in Advance or Adjustment)** of the ST-3 form for the relevant period, you can show this **excess payment as advance tax** if you have already utilized part of it for earlier periods.
* If you have not shown advance payment earlier, declare the **entire balance amount (Rs. 21,15,395)** in Part C as advance tax paid.

3. **Match challan numbers and payment dates:**

* In **Part H (Challan Details)**, enter the details of the GAR-7 challans against which the tax was paid. This helps in proper reconciliation.

4. **Adjustment in later returns:**

* When you file ST-3 returns for the quarters where actual tax liability arises, you adjust the advance payment against the tax payable by quoting the relevant challan details.

### Important Notes:

* Since this is for **2013-14**, Swachh Bharat Cess (SBC) is not applicable, so you don’t need to worry about SBC in this case.
* Make sure to keep proper records and challan copies for audit and reconciliation purposes.
* If possible, maintain a reconciliation statement showing the opening liability, payments made, and adjustments in each ST-3 return period.

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If you want, I can help draft a simple reconciliation template or guide you step-by-step on filling the ST-3 return sections for this scenario. Would that help?

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