When arise liability of Service Tax Payment.

This query is : Resolved

vishnukant (Querist)
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19 April 2008 Hi dear all,
i want to know if any service provider provide the services and charge service tax in his invoices, now when this service tax should be paid by him?
a) 5th day of following month when he debited the amount to service receiver?

or b) 5th day of following month from received the payment.

i.e. a service provider billed to his cutomer on 15th feb. but payment received on 8th jun.
when should service tax to be paid in Govt. treasary on 5th Mar or on 5th July.

pl suggest at eariest.

Dayal

Dayal (Expert)
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19 April 2008 Payment of service tax is based on receipts and payments

In your case service tax liability will have to be paid only after receipt of payment

for eg. you have raised a bill on 15th Feb and the bill gets paid on 8th June

Then you have to pay service tax to the government treasury on 5th of July if paid in cash or if paid through electronic medium i.e. e-payment then on 6th of July 2008 in the instance case

vishnukant

vishnukant (Querist)
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23 April 2008 thaks a lot

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