05 June 2015
We recd detail of Transaction During the month (May 15) and issued the bills to clients by adding our part+service tax (on our part) in June 15 what is the rate of ST we charge from Clients?
Also recd bills of cenvat credit @ 12.36% in June 15 of the above transactions, can we take that cenvat credit?
To simplify:- Rule 4 of Point of Taxation Rules change in effective rate of Service Tax: There are three events that occur in connection with a service
A. Issue of Invoice B.Payment received C. Provision of Service
If any two out of the three events have occurred on/before 31st May, the old rate of 12.36% shall be applicable.
If any two out of the three events have occurred on/after 1st June, the new rate of 14% shall be applicable.