Service tax payment???

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

10 November 2011 Whether Proprietor providing Services of Event Management is required to pay Tax on Accrual Basis or Receipt basis???
Further if on accrual basis,What to do as Service Tax already deposited on Receipt basis, Whether its mandatory to pay Interest if Proprietor makes payment now???

PUNEET GOYAL

PUNEET GOYAL (Expert)
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11 November 2011 Service tax to be paid on accrual basis for event management service because it is not covered by rule 7(c) of point of taxation rules, 2011.

If date of receipt of payment is later than date of accrual of service then interest shall be paid @ 15% or 18% as the case may be.