Excess Payment of Service Tax

[RAJENDRA KHOMNE]

Sir,

Good Morning,

For year end, Service Tax Due date is 31st March. But some party's bill not come before 31st March, hence we paid service tax approximately. After all bills booking we find that we have paid service tax excess in some services & short in some services. My query is can we adjust excess service tax for short payment. (For Example. for Advocate Service we have paid ₹ 2800/- Short & for Manpower we have paid ₹ 2800/- Excess)

And other query is if we paid excess service tax can we adjust it for next month payment.

Sir, Pl Guide

Thanks,

Khomne R. M.

AI Summary

Excess service tax adjustment: excess can offset the succeeding period, shortfalls require payment with interest.
Excess service tax paid in a month or quarter may be adjusted against the succeeding period's liability, but cannot be set off against a shortfall in the same earlier period; short payments require payment with interest and excess payments are refundable subject to unjust enrichment. Administrative practice on accounting codes complicates cross service adjustments, generating calls for departmental clarification to avoid penal outcomes from mere classification or timing mismatches.