1. Can we take his consulting charges in Mar-16 ( 2015-16 ) ?
Even though the Bill is received in March, 2016, since the payment is not made in 2015-16, there does not appear any need to book the charges in 2015-16.
2. We will pay his bill next week -- can we claim RCM for the year 2015-16 ( we will pay ST with interest also ).
Under Point of Taxation Rules, 2011, the relevent date is the date of payment
"7. Determination of point of taxation in case of specified services or persons.— Notwithstanding anything contained in these rules, the point of taxation in respect of the persons required to pay tax as recipients of service under the rules made in this regard in respect of services notified under sub-section (2) of section 68 of the Act, shall be the date on which payment is made :
Provided that, where the payment is not made within a period of six months of the date of invoice, the point of taxation shall be determined as if this rule does not exist :
Provided further that in case of “associated enterprises”, where the person providing the service is located outside India, the point of taxation shall be the date of debit in the books of account of the person receiving the service or date of making the payment whichever is earlier.’" Since the payment is being made in May, 2016, the service tax can be paid under RCM as liability for May, 2016.
3. What is the time limit for utilising ST credit ( both RCM credit and normal ST credit )?
There is no time limit for utilisation of cenvat credit, the only condition is that the Cenvat Credit is to be availed within one year from the date of Invoice/Challan/Bill etc.
4. What will be the ex.rate on his bill ( actual paid ex.rate or as on 31.03.2016 govt rate )?
The Govt exchange rate for the respective month can be applied.
5. We have already filed ST return for period ending 31.03.16 , can we revised it after giving effect of the above in 2015-16.
If required, the ST-3 return can be revised within the time limit.
Hope, I have clarified the issue to the best of my knowledge.
CAclubindia
