Servicetax payment

This query is : Open

survesh (Querist)
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12 October 2015 Hi,

Last Year in FY 2014-15 we have rased invoices with Servicetax 12.36% and paid the Servicetax to Governmet.Now Party is asking us to revise the invoices With Tax 14%.They will pay invoice at new rate in FY 2015-16

Can We adjust or take Input credit(Old Invoices) of Servicetax 12.36% OR only 12% for Last year against 14% Servicetax payable.

Ashish Chaudhary

Ashish Chaudhary (Expert)
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13 October 2015 Service tax cannot be charged at 14% on service provided in the previous year. Party may perhaps been asking for revising the invoice as there is time limit of one year for taking the credit and they may have missed to take the credit within this time period. Now they may be considering of taking credit based on your revised invoice.
That old tax charged can be adjusted against output liability under Rule 6 (3) of Service Tax Rules provided credit note is issued satisfying the condition of said rule.

survesh

survesh (Querist)
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13 October 2015 Dear Sir

Servicetax Invoice Cancelled of Fy 2014-15 in 2015-16 after May 2015.

Can we take Servicetax & Education @ 12.36 Credit while paying 14% Servicetax.

Only Servicetax 12% Credit is available and Can we take Ed. Cess & H.E.cess 3% Credit against 14% Payable Stax.

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