Swadhi Godha (10 Points)
11 October 2016Hii,
Can servicetax invoice be issued after 30 days of sale of service on service completion basis, while service tax is been paid by service provider at the time of agrreing to provide service & no amount is received till time??
Also Can service receiver claim service tax input in upcoming months if invoice received of a prior period on later date?
Please suggest.
Mahendra
(Chartered Accountant)
(154 Points)
Replied 13 October 2016
1. Taxability of service tax is on the basis of Point of Taxation Rule, so even if the amount is not received and provision of service is completed and invoice is issued within 30 days point of tax will be date of invoice. In case if the invoice is not issued then POT will be date of completion of service.
2. There is a time limit for claining service tax which is 1 year from the date of issue of invoice or payment of challan (reverse charge). So if invoice is received for prior period but within the time limit of 1 year the receiver can claim the input credit.
Analysis of 20 GST Notices (including 2 Appeals) and Practise on Drafting(with recording)
GSTR 9 and 9C for FY 23-24 as amended by Notification 12/2024 dated 10th July 2024(with recording)
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