DUE DATE TO DEPOSIT SERVICE/EXCISE HAS BEEN CHANGED PLEASE READ THIS

-- In case of prop/partnership firms & individual to be paid Quarterly.-- In other cases monthly--Due date/Last date is 5th day of the month following the month/quarter for which service tax is paid.-- But in case of last month/qtr of Financial year due date is 31st march.--The service tax can be paid electronically.Mandatory e-payment of service tax E-payment of service tax has been made mandatory w.e.f . 1.10.2006, for all assessees who have paid (in cash plus through CENVAT Credit) a service tax amounting to Rs. 50 lakh or more in the preceding financial year or in the current financial year. The latter type of service taxpayers shall make any further payment of service tax in cash (i.e. other than through credit), only through e-payment.Issuance of invoices, bills, challans, consignment notes and other documents:-- every taxable service provider/input service distributor is required to issue a document (i.e. invoice, bill or challan) within 14 days from either the date of completion of provision of service or receipt of any service charges (whichever is earlier).--Such document should be serially numbered and should contain the name, address of the service provider and the service receiver, description, classification and value of service provided and service tax payable thereon.-- The amount of ‘education cess’ and ‘secondary and higher education cess’ should be shown separately on the invoice.--STC no./registration no. of the service provider should also be mentioned on the invoice for this purpose.-- For service providers providing ‘banking & other financial services’, certain relaxations are available. For such service providers, the invoice need not be serially numbered. They are also exempted from mentioning the address of the service receiver. Similar dispensation is available for input service distributors of such type of service providers.-- For providers of taxable service of transport of goods by road (i.e. goods transport agency) the invoice/bill/challan should, in addition to the general information required also contain the consignment note number, date and gross weight of the consignment. (other points for GTC see detail circular)Service tax return-Return is required to be filed on a half yearly basis, in (pdf)Form ST-3.(excel)---April to September -------------25th October---and October to March----------25th April-- A single service tax return should be filed (in Form ST-3) in respect of all taxable services provided by an assessee.- e-filing of return- The service tax return can be filed electronically after logging into the website www.servicetaxefiling.com.Delay in filing of return: The late fee presently is(a) Rs 500 for delay up to 15 days;(b) Rs 1000 for delay between 15 days and 30 days; and(c) Rs 1000 plus Rs 100 per day beyond 30 days, till the filing of return, not exceeding Rs 2000/-.Filing of revised return:--Assessee can submit a revised return within 60 days of filing of original return to rectify any mistake or omission.--It may be noted that in such cases where an assessee files a revised return, the limitation period for initiating any action for demanding the service tax not paid/ short paid/ not levied/short levied would be computed from the date of filing of revised return.Assessment--Normally, under self assessment scheme, the service taxpayer assesses his tax liability himself and pays the same.CENVAT CreditWef 10.9.2004, under CENVAT Credit Rules, 2004, CENVAT Credit across goods and services has been allowed.(a) ISSUE: Whether a manufacturer or taxable service provider having credit balance in his account can utilize that credit for payment of service tax on goods transport by road, as a consignor or as a consignee?COMMENTS:No(b) ISSUE: Whether a consignee can take credit of the amount paid as service tax either by himself (as consignee) or by the consignor or by the Goods Transport Agency?COMMENTS: yes(c) ISSUE: Up to what stage a manufacturer/consignor can take credit on the service tax paid on goods transport by road?COMMENTS: A manufacturer / consignor can take credit on the service tax paid on outward transport of goods up to the place of removal and not beyond that.“place of removal” means-(i) a factory or any other place or premises of production or manufacture of the excisable goods ;(ii) a warehouse or any other place or premises wherein the excisable goods have been permitted to be stored without payment of duty ;(iii) a depot, premises of a consignment agent or any other place or premises from where the excisable goods are to be sold after their clearance from the factory;from where such goods are removed.”Delay in payment of service taxInterestDelay in payment of service tax, including a part thereof, attracts simple interest at present, the rate of interest is 13% per annumPenalty--shall not be less than Rs 200 for every day during which such failure continues or at the rate of 2% of such tax per month, which ever is higher, starting with the first day after the due date till the date of actual payment of the outstanding amount of service tax. However, such penalty would not exceed the service tax payable.