INCOME TAX MATTERS ( A monthly journal on - Income tax and wealth tax- since 1999) - ( subscription for the year 2009 (TWO VOLUMES) is only Rs. 1300/-) - For subcription and to Know more click here

 

YOUR OBLIGATIONS

 

(By P. C. Garg Advocate and CA. Ritesh Garg)

 

 

SERVICE TAX - DEPOSIT

 

 

UNDER

 

 

FINANCE ACT, 1994

If an assessee is not an individual,  proprietory  firm or partnership firm, then to deposit Service tax for the month of MARCH , 2009.

If an assessee is an individual,  proprietory  firm or partnership firm, then to deposit Service tax for the QUARTER ( JANUARY, FEBRUARY & MARCH, 2009). (Rule 6(1) of Service Tax Rules, 1994)

 

(Rule 6(1) of Service Tax Rules, 1994 which is given hereunder for your ready reference;-

Rule 6. Payment of service tax –

(1) The service tax shall be paid to the credit of the Central Government,-

(i) by the 6th day of the month, if the duty is deposited electronically through internet banking; and

(ii) by the 5th day of the month, in any other case,

immediately following the calendar month in which the payments are received, towards the value of taxable services:

Provided that where the assessee is an individual or proprietary firm or partnership firm, the service tax shall be paid to the credit of the Central Government by the 6th day of the month if the duty is deposited electronically through internet banking, or, in any other case, the 5th day of the month, as the case may be, immediately following the quarter in which the payments are received, towards the value of taxable services:

 

Provided further that notwithstanding the time of receipt of payment towards the value of services, no service tax shall be payable for the part or whole of the value of services, which is attributable to services provided during the period when such services were not taxable:

 

Provided also that the service tax on the value of taxable services received during the month of MARCH, or the quarter ending in MARCH, as the case may be, shall be paid to the credit of the Central Government by the 31st day of MARCH of the calendar year.

 

  Explanation.- For the removal of doubts, it is hereby declared that where the transaction of taxable service is with any associated enterprise, any payment received towards the value of taxable service, in such case shall include any amount credited or debited, as the case may be, to any account, whether called ‘Suspense account’ or by any other name, in the books of account of a person liable to pay service tax. )

 

Important information - If there is holiday on the last day of the obligation, then the next working day shall be considered as the last day for fulfilling that obligation.