Service tax calculation

service tax return has not been filed since oct 2008 and in books he has taken service tax @ 10 % flat on the value of services...

in order to calculate interest on delayed filing of return, is it 13% or 18 %??

also what about the service tax deducted on output services- client deducted @ 10 % for Apr '08 to feb'09 but it was 12% at that time.....???

what should be done?? whether the 2 % that has not been deducted should be deducted for Apr'08 to Feb'09 and then interest to be charged on the same??

kindly provide the answers

 

Replies (2)

Interest rate is 13% p.s. up to 31-03-2011. Since 01-04-2011, it is 15% p.a if his value of service in preceding year is less tahn Rs.60 L, otherwise it is 18%.

Short payment of tax by 2% can now be paid with interest as shown above.

Adding to the above query, can service tax excess deposited monthly can be adjusted in the next year's liability??

 

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