service tax e payment notification :

As per notification number 9/2014 of service tax, with effect from 1st october, 2014, every assessee has to pay service tax electronically. So now it is mandatory to pay service tax online. The assessee can pay service tax by any other mode than internet banking with permission of assistant commissioner or deputy commissioner of Central Excise. (download notification no. 9/2014 from end of the post)

Due date of service tax e payment:

Last date of service tax e payment is 6th of following month when service is provided.For the month of march, last date of service tax payment is 30 march. See point of taxation rules for more detailed guidelines.

Example:

If service is provided in the month of June and e payment of service tax should be done by 6th July.

Service tax payment due dates chart:

Please go through following chart to know service tax payment due date.

service tax payment due date for individual and partnership:

Service provided monthPaid by challan (offline)E – payment
April  – June5th July6th july
July – September5th October6th October
October – December5th January6th January
January – March31st March31st March

 

Service tax payment due date for companies, HUF, AOP, BOI  etc.(other than individual, partnership firms)

Service provided monthPaid by ChallanE payment
April5th May6th May
May5th june6th June
June5th July6th July
July5th August6th August
August5th September6th September
September5th October6th October
October5th November6th November
November5th December6th December
December5th January6th January
January5th February6th February
February5th March6th March
March31st March31st March

Point of taxation rules:

Follow point of taxation rules. According to POT rules, service tax should be paid according to date of service provided.

Service is deemed to provided at earlier of following

  • Date of payment
  • Date of invoice (if invoice is issued within 30 days from completion of service)

If invoice is not issued within 30 days, service is deemed to provided at earlier date of following

  • Date of payment
  • Date of completion of servicel

Read post below to gain clear understanding of POT rules.

Point of taxation – easy to understand

Procedure for service tax e payment:

Service tax e payment

Service tax e payment

  •  Now enter the assessee code. Type captcha code.
  • Select accounting code for service tax. See the list of accounting code of service tax. You can select up to six accounting code
  • Select bank from which you want to pay service tax. See the list of the bank which is authorized to service tax payment. Kindly note that net banking facility should be active in your bank account to make e payment of service tax.
  • On submission, you can see confirmation screen.
  • Confirm it and you will be redirected to your selected bank.
  • Log in using net banking id and password and make the payment.
  • On successful submission, you can get receipt (counterfoil ) containing CIN number.
  • Save receipt as it is proof of payment.

Verify payment:

You can verify your payment through your bank account statement.

 service tax e payment challan status:

You can check status of your payment after 5 to 7 days from payment from challan status inquiry menu. Click on CIN based view.You have to enter your CIN number for it.

From challan status inquiry, you can get following details:

  • BSR code of bank
  • date of deposit
  • challan number
  • Date of receipt by NSDL
  • name of assessee and assessee code
  • You can also verify amount of payment.

If status is not available, you can contact your bank branch.

 

HELP:

If you have any problem for non financial data, you can mail at easiest@nsdl.co.in. Plz indicate subject as indirect tax payment.

For problem for financial data, you can contact your bank for assistant.

Other points:

  • If you misplaced your counterfoil, you can regenerate it from your bank’s website.
  • If there is error on cbec website, you can mail at easiest@nsdl.co.in

It is advisable that you pay your service tax on it. Because there is huge interest on service tax payment if done lately.

Interest on service tax late payment:

Notification number 12/2014 dated 11/7/2014 has increased interest rate  for late service tax payment. See following table for clear understanding.

Delay daysSimple interest p.a.
Up to 6 months18%
Period of More than 6 months and up to 1 year24%
Period of delay for more than 1 year30%

Example:

Due date : 1/1/2014

Paid date: 15/10/2014

service tax: 1,00,000

Interest calculation on service tax :

For first ten months : (from 1/1/2014 to 30/9/2014)

Interest @18% p.a.

1,00,000*18/100*9/12 = 13,500

For remaining one month: (from 1/10/2014 to 15/10/2014) (delay more than 6 months but up to 1 year)

1,00,000*24/100*1/12 = 2,000

Total interest = 15,500

So you have to calculate interest differently for payment due up to 30/9/14 and apply previous rule for it (18% p.a. interest) and for payment from 1/10/14 . apply new rule.

Relaxation of 3% less interest for small service providers (service providers who has turnover less than 50 lacks during previous year) is available in new rule also.