TaxTMI 
TaxTMI 
VCES-2013 for Rental Income was filed, tax due was deposited on 30.06.2014. Now Audit party has detected that tax for period 01.07.2007 to 28.02.2009 was wrongly deposited @10% instead of 12%. Kindly guide the rate of interest and period for which the interest to be deposited.
VCES Interest for delay
16 Feb 2015 
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Interest on late service tax payments applies at higher statutory rates depending on the payment date when tax was under-declared.
Audit found a short deposit due to application of an incorrect historic service tax rate; the correct composition for that period includes service tax plus education cess and secondary and higher secondary education cess. Interest on delayed payment applies and must be calculated and paid using the statutory interest rates corresponding to the period during which the shortfall remained unpaid. (AI Summary)
Audit found a short deposit due to application of an incorrect historic service tax rate; the correct composition for that period includes service tax plus education cess and secondary and higher secondary education cess. Interest on delayed payment applies and must be calculated and paid using the statutory interest rates corresponding to the period during which the shortfall remained unpaid. (AI Summary)