How to pay service tax through online

Respected Sir,

Go to E-payment tab on ACES website to pay tax Electronically.

OR 

Go to https://cbec.nsdl.com/EST/InputPageForEPaymentServlet

Regards,

Tanay Choksi

small service providers may opt to avail exemption of 10L in year provided they are not claiming input credit of inputs / input services.

Dear U S Sharma,

Thanks for your response. Pls. let me know what is the meaning of 'claiming input credit of inputs / input services'.

with rgds,

Prasad

Mr. Prasad,

Input Credit above refers to CENVAT Credit/input service tax credit. As you are an output Service Provider you are liable to pay service tax on Services Provided by you to the customer. You would be charging Service Tax from your customers in invoices issued by you. Similarly, for providing output service you may have used services of others, and must have paid service tax on their bill. In case these services come under the category of input services, you can claim set off of service tax paid on input service from service tax to be paid on output service.

If for example, total Service Tax Collected by you on your Output services amount to, say, Rs. 100000/-. For providing this service you have used some input services, say, internet telephony services and paid Service Tax of Rs.30000/- on such service. This Rs.30000/-, being service tax on input service, is available as input credit. Hence, instead of paying Rs.100000/- as your service tax liability, you may pay Rs.70000/- (Rs.100000/- less Rs.30000/-) only. This is 'claiming input credit of input services'

Mr Prasad, 

Further to CA.Prabhat Gupta's reply, cross utilisation of input tax credit is also permissible. It means, suppose you are purchasing an excisable commodity (like capital goods) with excise duty charged in the bills, such excise duty value is also allowed to be set off/adjusted against your output tax, provided such excisable goods should be used (in relation to) exclusively for your output service.

regards,

Dear Mr. Prasad ,

You may pay tax online through  www.NSDL .com .

provided you have net banking facility with your respective banker. ( facility for payment of statutory duties)  

Secondly as far as CENVAT  credit facility is concerned :

It is simply a input  credit facility  ( for the tax that you  paid may it be through  Electric Bill , Telephone Bill or even if  you import  any  capital goods from abroad ,  a portion of the Custom duty  is also eligible for  having input tax  credit provided such service or  good  must n be used  exclusively for your output service .

you may also  have the carryforward  facility of CENVAT .

Input  tax  on  Revenue Item  is allowable to be deducted  100%

where as   same on  Capital  Item  is allowable only 50%.

balance 50 %  to be adjusted in next financial year.

Regards ,

Debashis .