Payment of service tax c/o u/s 195

Dear Friends

we ( manufacturing co.) are making a pmt of technical consultancy to a foreign colloborator. as per the service tax we have to pay the service tax on his behalf.

now will you please guide me what will be the mode of pmt. I heard that 5% of the total tax should be deposited in cash with RBI and the rest you can set off with cenvat credit ( if available)

please guide me on the same & if yes then please with circular

regads

narendra