adjustmen of excess royalty payment under reverse charge, Service Tax

[anish mital]

I am paying royalty to a foreign based company, on which I have discharged service tax under reverse charge basis, which is in excess of actual liability.Please tell me the detail procedure for adjustment.

Posts / Replies

[MARIAPPAN GOVINDARAJAN]

The same may be adjusted in the subsequent payment. You have to inform about the details of the adjustments of excess to the Range Superintendent.

[Ganeshan Kalyani]

As per Rule 6 (3) of Service Tax Rules 1994 the excess payment of service tax can be adjusted in the liability of subsequent month.