Swachh Bharat Cess on Royalty Service Tax payment

[Asked by Guest]

Dear Sir,

Please explain whether Swachh Bharat Cess will leviable on Royalty Service Tax payment under Import of Services for Service receiver for the period Oct - Dec 2015

If yes then please also explain how to calculate such Swachh Bharat cess by deducting from R & D Cess or not.Please give us any references regarding this ,Thanks & regards.

AI Summary

Swachh Bharat Cess on reverse-charge imported royalty services: liability arises on payment date under Point of Taxation Rules.
Swachh Bharat Cess is applicable to services subject to reverse charge, including imported royalty services, by virtue of the statutory extension of reverse charge to SBC. For reverse charge transactions, SBC liability is determined under the Point of Taxation Rules: the point of taxation is the date of payment to the service provider, and SBC is to be calculated on the value of the taxable service at that time. The text does not resolve whether SBC may be deducted from other cesses.