Point of taxation rules

refer only supplementary for 2012 may... u ll get solution..

DETERMINATION OF RATE OF TAX IN CASE OF CHANGE IN

EFFECTIVE RATE OF TAX

1.1 Step 1: Identify following three events:

(i) Date on which taxable services have been provided;

(ii) Date of issue of invoice;

(iii) Date of receipt of payment

(Here, as per Rule 2A of Point of Taxation Rules, 2011, ‘date of

payment’ means the date when payment credited in bank

account.)

1.2 Step 2: Determine rate of tax:

(i) Applicability of 10.3 %: If two out of the three

events given in step 1 hereinabove took place prior

to 31.03.2012;

(ii) Applicability of 12.36%: If two out of the three

events given in step 1 hereinabove took place on or

after 01.04.2012;

In simple words, if any two events out of three mentioned in step

1 takes place prior to 31.03.2012, old rate i.e. 10.3% shall be

applicable.

Mr. Sankar,

I am confused about the date you mentioned for applicability of 10.3%, is it prior to 31.03.2012 or 01.04.2012?

Dear Alokjee,

Date is to be separated as follows:

1. Period before or on 31/03/2012
2. Period after 31/03/2012

above 3 event need to put in above two group to determine point of taxation

regards

Shankar