https://www.taxtmi.com/forum/issue?id=110369 Debate centers on whether the revised interest rate applies to earlier service tax demands when interest is paid after enactment. Notification No.13/2016 fixes the new rate and states it comes into force on assent of the Finance Bill; absent express retrospective language, the notification is applied prospectively. Consequently interest is to be computed by reference to the rate prevailing for each period when the tax was due, potentially segmenting liability across rate periods, although some judicial pronouncements were cited advocating application of the rate at time of payment. en-us Thu, 19 May 2016 12:27:49 +0530 Thu, 23 Jan 2025 15:56:23 +0530 TaxTMI RSS Generator https://www.taxtmi.com/forum/issue?id=110369 Debate centers on whether the revised interest rate applies to earlier service tax demands when interest is paid after enactment. Notification No.13/2016 fixes the new rate and states it comes into force on assent of the Finance Bill; absent express retrospective language, the notification is applied prospectively. Consequently interest is to be computed by reference to the rate prevailing for each period when the tax was due, potentially segmenting liability across rate periods, although some judicial pronouncements were cited advocating application of the rate at time of payment. Discussion-Forum Service Tax Thu, 19 May 2016 12:27:49 +0530 https://www.taxtmi.com/forum/issue?id=110369