Taxes not paid up to date fo filing it return

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Sanju Zaveri (Querist)
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21 December 2012 If an assessee is not paying service tax liability of March ending of previous year up to the date of filing of Income tax return i.e. 30-09-2xxx. then there is any effect on taxable value or tax amount of that assessee?
or
there is any effect in audit report or any discloser in audit report????

Dintakurthi Tirumala

Dintakurthi Tirumala (Expert)
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21 December 2012 Yes, there is tax effect. The any paid amount i.e provision made on 31st March but not paid as on date of filing of return that amount shall be disallow as expense for that year and add to the total income and the compute tax liability. The same has been allowed as expense in the year of actual payment made. As per section 43b some payments allowed as expenses on cash basis only(event though the company or firm following accrual basis of accounting)

Yes, If such payment is not made on or before to the date of audit report the auditor should report this at the option for it provided at form 3CD(at serial no: 21). In case if the assessee paid it after the date of audit report but before to the filing of return or due date to filing of return u/s139(1) which is earlier then auditor shall give subsidiary report by certifying the payment made.

OM SAI SRI SAI JAI JAI SAI

Dintakurthi Tirumala

Dintakurthi Tirumala (Expert)
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21 December 2012 For any clarification please write your doubt.

OM SAI SRI SAI JAI JAI SAI

Sanju Zaveri

Sanju Zaveri (Querist)
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22 December 2012 THANKS 4 REPLY,

But in case of Service Tax liability is pending to pay up to the date of filing return then what is the effect on taxable amount???????

Dintakurthi Tirumala

Dintakurthi Tirumala (Expert)
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22 December 2012 Add such pending tax payable to the total income in the statement of total income u/s43b and then compute tax amount and paid tax. (if the return not filed with in due date as well as the payment of due not paid with in due date then also the above adjustment has to make at the time of filing of return for example for clarification: in case due date to filing of return is 30-9-2012 but the actual date of filing is 30-10-2012 but the service tax payable liability as on 31-3-2012 is paid on 15-10-2012 in this case also the service tax payable amount has to be add to the total income and then compute tax liability)

Are understand otherwise write your doubt any more.

OM SAI SRI SAI JAI JAI SAI

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