BALANCE CREDIT ON SERVICE TAX

[SURYAKANT MITHBAVKAR]

While Implemetation of GST, availing balance credit on service tax we have to disclose in last return to carried forwards in GSTN Server.

As per Service tax Act, Credit is eligible after making payment to service provider.

can we issue only cheque in name of service provider (Not present in their Bank which will done in next month i.e. July-17) and avail service tax credit .

AI Summary

Service Tax Credit Eligibility: Claim in GST Electronic Credit Ledger if Paid Within 3 Months per Section 140(9). A query was raised about availing balance credit on service tax during the implementation of GST, questioning whether issuing a cheque to a service provider, not yet deposited in their bank, allows for service tax credit. The response clarified that under Section 140(9), if eligible for input credit on a payment basis, one can claim credit in the electronic credit ledger under GST, provided the payment is made within three months from the appointed date.