15 November 2010
UP TO 10 LAKH IS BASIC EXEMPTION LIMIT.
ON NEXT 5 LAKH S.T. WILL BE PAID. PLEASE NOTED ALSO THAT :-
Interest and Penalties/Late Fees Nature of default Section Quantum Interest on amount collected in excess 73B Simple interest @ 13% p.a. w.e.f. 19th April, 2006. Interest on delayed payment 75 Simple interest @ 13% p.a. w.e.f. 10th September, 2004 Penalty for failure to pay service tax 76 Higher of Rs. 200/- or more per day or 2% of service tax p.m. Late fees for delay in filing return 70(1) & Rule 7C • Rs. 500/- for delay up to 15 days • Rs. 1,000/- for delay beyond 15 days upto 30 days • Rs. 1,000/- plus Rs. 100/- per day for delay beyond 30 days • CEO empowered to reduce or waive penalty (late fees) for delay in filing return where gross amount of service tax payable is NIL. Failure to take service tax registration 77 Up to Rs. 5,000/- or Rs. 200/- for every day during which such failure continues, whichever is higher. -
A service provider whose total value of services is less than Rs. 10 lakh in P Y are note required to pay the service tax in C Y (current Year).till reach turnover of Rs 10 lakh.
therefore you need to pay the service tax on only 5 lakh.
CAclubindia
