TaxTMI 
TaxTMI 
Interest on late payment of service tax
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....nterest on late payment of service tax<br> Query (Issue) Started By: - Raj Malik Dated:- 18-3-2017 Last Reply Date:- 20-3-2017 Service Tax<br>Got 8 Replies<br>Service Tax<br>For finalization of balance sheet for FY 2015-16, Reverse charge on manpower supply is required to be paid by us for invoice a billed on 19-11-15 amounting to ₹ 11000. Kindly tell me what should be the rate of interest o....
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....n late payment of service tax which is to be paid after one year. Reply By MARIAPPAN GOVINDARAJAN: The Reply: For the first six months - 18%; 6 months to one year - 24%; beyond one year - 30% Reply By KASTURI SETHI: The Reply: First of all determine point of taxation as per Rule 7 of Point Of Taxation Rules, 2011 under RCM. Thereafter, you have to compute interest in terms of Notification No.1....
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....2/14-ST dated 11.7.14 which remained in force 13.5.16 (Slab wise) Thereafter, interest has to be calculated as per Notification No.13/16-ST dated 1.3.16 (Effective from 14.5.16, the date of enactment of Finance Bill, 2016. The department always goes by the Notification which remained in force during the relevant period. (period of delay). Reply By YAGAY AND SUN: The Reply: Slab wise Interest ra....
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....te would be applicable as mentioned above. However, such interest would be paid in Cash through online GAR-7 challan. Reply By KASTURI SETHI: The Reply: Yes. Interest is always paid in cash. Reply By Ganeshan Kalyani: The Reply: The interest rate prevailed at the time of default period shall become applicable. Thanks. Reply By Raj Malik: The Reply: In case of reverse charge which rate shoul....
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....d be applicable 18% or 24% for calculation of interest in the F yr 2015-16 Reply By samiuddin ansari: The Reply: The new rate of interest came into effect from 01st Oct, 2014, by virtue of Notification NO.12/2014-S.T. Moreover, as per proviso to Section 75, three percent concession on the applicable rate of interest is also available to small service providers.Thanks. Reply By YAGAY AND SUN: Th....
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....e Reply: We are amenable with your reply.<br> Discussion Forum - Knowledge Sharing ....