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Service Tax payment process

Pavania (Owner) (28 Points)

04 March 2009

we have recently constructed a commercial space and leased out to a retain chain and we are getting 1.5 lacs per month as rent. Per the recent information that I could read from this forum I am liable for a tax over 8 lacs of rent received and its at 12.33%.

I would apprecaite if someone confirm this

Also I need help in the process of paying the service tax. Do I need to apply for a different number something like a PAN number or can I pay this through my PAN number?

What is the last date of payment of service tax in hyderabad. Is this before 31st march?

greatly appreciate if someone can respond to me with end to end process of paying the service tax.

thx a lot in advance

pavania

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SIDDHARTHA SANKAR ROY (Government Servant -MOF) (868 Points)
Replied 04 March 2009

I belive you have rented out your building which is used for commercial purpose. If it is the first year then you need not pay service tax upto Rs 10 lakhs but you need to take registration once your income from rent reaches Rs 9 lakhs.

Before collectiong tax from your tenants you need to take registration with your jurisdictional service tax superintendent. You need to apply for it in ST-1 form which you can download from www.cbec.gov.in. The documents that are required to be submited along with the ST-1 form are your PAN card issued by the IT Dept., and address proof( current Telephone Bill, Cell Bill or Electricity Bill issued in your name).

Payment of service tax is required to be made within the 5th of the month immediately following the quarter in which the payment is received.

For quarter ending 30th June = Make payment within 5th July

For quarter ending 30th Sept= Make payment within 5th Oct.

For quarter ending 31st Dec= make payment within 5th January

For quarter ending 31st March= Make payment within 31st March.

Before making payment find out the desiganated bank from your local service tax authority. Collect GAR-7 form, fill it up and make payment in designated bank. You have the option of amking e-payment. Hope it will serve your purpose