when to pay service Tax

This query is : Resolved

CA Abhishek Singh (Querist)
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17 November 2010 hello everyone,

suppose we have raised invoice on 1st aug-1o in which service tax is rs.100000 (example) payment terms is 60 days.

we received amt on 15th nov 10.

when should we pay the service tax.

CA.Madhusudan B.P.

CA.Madhusudan B.P. (Expert)
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17 November 2010 Service tax is destination based tax.
In your example, irrespective of the terms of payment, SERVICE TAX SHALL BE PAID ON RECEIPT BASIS.
Since we have received the amount on 15.10.2010, ST shall be paid on or before 5.11.2010 or 6.11.2010(e payment)
I hope its clear

Bhaskaran Chackrapani Warrier

Bhaskaran Chackrapani Warrier (Expert)
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17 November 2010 The above said date of payment will differ if the service provider is other than a company.

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DR GAURAV GUPTA FCA, FCS, LL.B

DR GAURAV GUPTA FCA, FCS, LL.B (Expert)
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17 November 2010 yes if service provider is company then deposit date must be 05/06th december 2010. however in any other case agreed with madhusudan ji