10 October 2012
What will be the date of payment in given case.
1) Payment received through cheque on 31st March, 2012 and on same date entry has been made in books.
2) Payment has been credited in banks on 5th April 2012.
3) Change in rate of service tax with effect from 1st Aril (from 10% to 12%)
My main problem is that there was a Sunday on 1st April, so whether for the purpose of reckoning credit in bank account within 4 days from the date of change in rate of service tax shall be taken from 1st April or 2nd April?
Thanks in advance for giving your valuable advice.
11 October 2012
The Rule in itself is very clear as Rule @A(A)(ii) states that the credit in the bank account is after four WORKING DAYS from the date there is change in effective rate of tax...
As per querry as 1st April is Sunday , four days will be taken from 2nd April...
CAclubindia
